Golden Lake Company wants to invest some of its excess cash in trading securities and is considering two investments, The Boat Company (BC) and Flashy Life Vests (FLV). The income statements balance sheet, and other data for both companies follow for 2025 and 2024, as well as selected data for 2023: EE (Click the icon to view the data) Read the requirements Requirement 1. Compute each ratio for both companies for 2025 and 2024. Assume all sales are credit sales. Round all ratios to two decimal places a. Current ratio Begin by selecting the correct formula. Current ratio Now, compute the ratio for both companies for both years. (Round your answers to two decimal places, XXX) Ratio Year Current 2025 Current 2024 BC FLV b. Cash ratio Begin by selecting the correct formula. Cash ratio Now, compute the ratio for both companies for both years. (Round your answers to two decimal places, X.XX.) Ratio Year Cash 2025 Cash 2024 BC FLV c. Inventory turnover Begin by selecting the correct formula. Inventory turnover Now, compute the ratio for both companies for both years. (Round your answers to two decimal places, XXX.) Ratio Year Inventory turnover 2025 Inventory turnover 2024 BC FLV d. Accounts receivable (AR) tumover Begin by selecting the correct formula. AR turnover Now, compute the ratio for both companies for both years. (Round your answers to two decimal places, X.XX.) Ratio AR turnover AR turnover e. Gross profit percentage Year 2025 2024 Begin by selecting the correct formula. Gross profit % BC FLV Now, compute the ratio for both companies for both years. (Round your answers to two decimal places-the nearest hundredth percent, XXX%.) Ratio Gross profit % Gross profit% Year 2025 2024 BC FLV % % % f. Debt ratio Begin by selecting the correct formula. Debt ratio Now, compute the ratio for both companies for both years. (Enter your answers as a percentage to two decimal places-the nearest hundredth percent, XXX%) Ratio Debl Debl g. Debt to equity ratio Year 2025 2024 Begin by selecting the correct formula. Debt to equity ratio BC FLV % % % % Now, compute the ratio for both companies for both years. (Enter your answers as a rate and not as a percentage. Round your answers to two decimal places, XXX) Ratio BC FLV Debt to equity Year 2025 Debt to equity 2024 h. Profit margin ratio. Begin by selecting the correct formula. Profit margin ratio Now, compute the ratio for both companies for both years. (Enter your answers as a percentage to two decimal places-the nearest hundredth percent, XXX%) Ratio: Year Profit margin 2025 Profit margin 2024 1. Asset turnover ratio BC FLV % % % % Begin by selecting the correct formula. Asset tumover ratio: Now, compute the ratio for both companies for both years. (Round your answers to two decimal places, XXX.) Ratio Year Asset turnover 2025 Asset turnover 2024 BC FLV j. Rate of return on common stockholders' equity (ROR on common SE) Begin by selecting the correct formula. ROR on common SE Now, compute the ratio for both companies for both years. (Enter your answers as a percentage to two decimal places-the nearest hundredth percent, XXX%.) Ratio: Year ROR on common SE 2025 ROR on common SE 2024 k. Earnings per share BC FLV % % % % Begin by selecting the correct formula. Earnings per share Now, compute the ratio for both companies for both years. (Round your answers to two decimal places, XXX.) Ratio Year Earnings per share 2025 Eamings per share 2024 BC FLV 1. Price/earnings ratio Begin by selecting the correct formula. Price/earnings ratio Now, compute the ratio for both companies for both years. (Round your answers to two decimal places, XXX.)) Ratio Year Price/earnings 2025 Priceleamings 2024 m. Dividend yield BC FLV Begin by selecting the correct formula. Dividend yield Now, compute the ratio for both companies for both years. (Enter your answers as a percentage to two decimal places-the nearest hundredth percent, XXX%.) Ratio Year Dividend yield 2025 Dividend yield 2024 BC FLV % % n. Dividend payout Begin by selecting the correct formula. Dividend payout Now, compute the ratio for both companies for both years. (Enter your answers as a percentage to two decimal places-the nearest hundredth percent, XXX%.) Ratio Year Dividend payout 2025 Dividend payout 2024 BC FLV % % % % Requirement 2. Compare the companies' performance for 2025 and 2024. Make a recommendation to Golden Lake Company about investing in these companies. Which company would be a better investment, The Boat Company or Flashy Life Vests? Base your answer on ability to pay current liabilities, ability to sell merchandise and collect receivables, ability to pay long-term debt. profitability, and attractiveness as an investment Start by comparing each company's ability to pay current liabilities. Select the appropriate ratios and identify which company has the stronger ratio. Review the ratios you calculated in Requirement 1. Ability to pay current liabilities Ratios Potential investment company with stronger ratio Next, compare each company's ability to sell merchandise inventory and collect receivables. Select the appropriate ratios and identify which company has the stronger ratio. Review the ratios you calculated in Requirement 1. Ability to sell merchandise inventory and collect receivables Ratios Potential investment company with stronger ratio Compare each company's ability to pay long-term debt. Select the appropriate ratios and identify which company has the stronger ratio. Review the ratios you calculated in Requirement 1. Ability to pay long-term debt Ratios Potential investment company with stronger ratio. Compare the potential investment companies in terms of profitability. Select the appropriate ratios and identify which company has the stronger ratio. Review the ratios you calculated in Requirement 1. Profitability Potential investment company Ratios with stronger ratio Now compare each potential investment company's stock as an investment. Select the appropriate ratios and identify which company has the stronger ratio. (If one of the investment comtiny's ratios is stronger than the other in one year but weaker in the next, base the comparison on the 2025 ratios.) Review the ratios you calculated in Requirement 1. Stock as an investment Ratios Potential investment company with stronger ratio Conclusion and recommendation: Overall, companies appear to be stable, with fluctuation between the two years and debt to equity ratios. Since Golden Lake Company is looking for a short-term investment in trading securities, it should buy dividend payout appears to be a greater risk in the long-term due to its higher debt because it has a higher dividend yield and