I need serious help with this excel spreadsheet:

EARTHWEAR CLOTHIERS 5-2 Preliminary Analytical Procedures Initial Here Summary of Ratio Analyses & Assessment of Financial Condition 10/12/2017 December 31, 2014 1. Comments and Summary Based on your review of work paper 5-1, list one or two ratios in each of the following categories that you believe increase the risk of potential misstatement. Explain why you believe the risk is increased and identify possible causes of a potential misstatement and indicate if you believe the auditor would need to revise his or her typical audit approach to address the risk. For example, "Days of Inventory on Hand" increased significantly indicating merchandise is held in inventory for a longer period than prior years and it is also held for a longer period than the industry average. This increases the risk of obsolete inventory and/or the market value dropping below recorded cost. The auditor should increase the extent of inventory-valuation testing and/or change the nature of the testing to address the increased risk. SHORT-TERM LIQUIDITY RATIOS: Enter your response here (This cell will expand automatically to fit your response - use ALT+ENTER to begin a new line) ACTIVITY RATIOS: Enter your response here (This cell will expand automatically to fit your response - use ALT+ENTER to begin a new line) PROFITABILITY / PERFORMANCE RATIOS: Enter your response here (This cell will expand automatically to fit your response - use ALT+ENTER to begin a new line) COVERAGE RATIOS: Enter your response here (This cell will expand automatically to fit your response - use ALT+ENTER to begin a new line) 2. Assessment of Financial Position Based on your review of work paper 5-1, assess the client's ability to continue as a going concern (to stay in business) by responding to the following questions. A. Identify ratios and trends, if any, that cause concern about the client's ability to continue as a going concern Enter your response here (This cell will expand automatically to fit your response - use ALT+ENTER to begin a new line) B. Identify ratios and trends, if any, that indicate a high likelihood that the client will continue successfully as a going concern Enter your response here (This cell will expand automatically to fit your response - use ALT+ENTER to begin a new line) C. Assess the client's financial condition as one of the following (select one from the drop down list in cell B35) Click on the yellow cell above and the drop down list button will appear in the far right side of the cell. Your selection will then appear in this box. You can change your selection using the drop down list. D. Briefly explain the reasoning behind your assessment. Enter your response here (This cell will expand automatically to fit your response - use ALT+ENTER to begin a new line) 1. Establish Threshold for Unexpected Fluctuations To begin identifying accounts with unexpected fluctuations auditors must establish a threshold for account difference. All accounts whose actual 2014 unaudited account balance differs from the expected balance by a value greater than the threshold established will be shown in the charts below. As a general rule the threshold should not exceed materiality. For the purposes of this exercise we assume planning materiality is $3.1 million. Enter this value in the field below as 3100. A. Set threshold for account difference in thousands (e.g., 3100) $3,100 2. Evaluate Unexpected Fluctuations Lists of Balance Sheet and Income Statement accounts have been generated below based on your threshold for account difference. In the "Evaluation" column please identify 2 or more balance sheet and 2 or more income statement accounts where you believe the difference presents increased risk of material misstatement that may require a change in the nature, timing or extent of planned audit procedures. Please indicate possible reasons for the difference, potential risks, and suggested audit plan revisions. A. Balance Sheet Accounts Account Difference from Expectations Evaluation Cash and cash equivalents $31,071 Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Receivables, net ($5,568) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Inventory $8,444 Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Other prepaid expenses ($3,414) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Computer hardware and software ($7,107) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Lines of credit ($3,892) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Accounts payable ($22,401) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Accrued liabilities $5,456 Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Income taxes payable $5,711 Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Deferred income taxes ($4,666) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Additional paid-in capital $3,550 Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Accumulated other comprehensive income ($3,855) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Treasury stock, 6,654, 7,114, and 6,546 shares at cost, respectively $23,926 Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. B. Income Statement Accounts Account Difference from Expectations Evaluation Net Sales ($23,193) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Cost of sales ($47,893) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Selling, general and administrative expenses ($18,851) Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here. Income tax provision $10,864 Indicate possible reasons for difference, potential risks, and suggested audit plan revisions here.