FaithBrooks, a28-year-old collegegraduate, never took a personal finance class. She pays her bills ontime, has managed to save a little in a mutualfund, and(with the help of aninheritance) managed a down payment on a condominium. But Faith worries about her financial situation. Given the following information LOADING...

, prepare her personal balance sheet(Worksheet 4) and income statement(Worksheet 5). Using information from thesestatements, calculate the currentratio, savingsratio, monthly living expenses coveredratio, debtratio, andlong-term debt coverage ratio. Interpret these financial statements and ratios for Faith. Based on yourassessment, what advice would you giveFaith? In addition to the followinglist, Faith offers theseexplanations:

Allshort-term andlong-term liabilities are unpaid.

"Other expenses,monthly" represents cash spent without a record.

She charges all incidentals on her credit cards and pays the balances off monthly.

The balances shown here LOADING...

represent her average monthly balances.