Exercise 12-5 Evaluate risk ratios (LO12-3) The 2018 income statement of Adrian Express reports sales of $16,281,000, cost of goods sold of $9,851,500, and net income of $1,610,000. Balance sheet information is provided in the following table. ADRIAN EXPRESS Balance Sheets December 31, 2018 and 2017 2018 2017 Assets Current assets Cash Accounts receivable Inventory Long-term assets $ 610,000 1,420,000 1,820,000 4.810.000 $ 770.000 1,010,000 1,410,000 4,250,000 Total assets $ 8,660,000 $7,440,000 Liabilities and Stockholders' Equity Current liabilities Long-term liabilities Common stock Retained earnings $ 2,010,000 2,310,000 1,990.000 2,350,000 $1,670,000 2,410,000 1,990,000 1,370,000 Total liabilities and stockholders' equity $8,660,000 $7,440,000 Industry averages for the following four risk ratios are as follows: 25 days Average collection period Average days in inventory Current ratio Debt to equity ratio 60 days 2 to 1 50% Required: 1. Calculate the four risk ratios listed above for Adrian Express in 2018. (Use 365 days in a year. Round your answers to 1 decimal place.) Answer is complete but not entirely correct. Risk Ratios Average collection 29.7 days period Average days in 73.0 days inventory Current ratio 1.7 to 1 Debt to equity ratio 111.1 % %