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Income statement and balance sheet data for The Athletic Attic are provided below. THE ATHLETIC ATTIC Income Statements For the years ended December 31 2022

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Income statement and balance sheet data for The Athletic Attic are provided below. THE ATHLETIC ATTIC Income Statements For the years ended December 31 2022 2021 Net sales $10,400,000 $8,800,000 Cost of goods sold 6,800,000 5,400,000 Gross profit 3,600,000 3,400,000 Expenses : Operating expenses 1,600,000 1,550,000 Depreciation expense 200,000 200,000 Interest expense 40,000 40,000 Income tax expense 400,000 350,000 Total expenses 2,240,000 2,140,000 Net income $ 1,360,000 $1,260,000 THE ATHLETIC ATTIC Balance Sheets December 31 2022 2021 2020 $225,000 990,000 1,725,000 130,000 $ 154,000 740,000 1,355,000 100,000 $ 204,000 760,000 1,025,000 75,000 Assets Current assets: Cash Accounts receivable Inventory Supplies Long-term assets: Equipment Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable 1,100,000 (600,000) $3,570,000 1,100,000 (400,000). $3,049,000 1,100,000 (200,000) $2,964,000 $ 175,000 $ 105,000 $ 81,000 $ 225,000 990,000 1,725,000 130,000 $ 154,000 740,000 1,355,000 100,000 $ 204,000 760,000 1,025,000 75,000 1,100,000 (600,000) $3,570,000 1,100,000 (400,000) $3,049,000 1,100,000 (200,000) $2,964,000 Current assets: Cash Accounts receivable Inventory Supplies Long-term assets: Equipment Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and stockholders' equity $ $ $ 175,000 4,000 40,000 105,000 0 35,000 81,000 4,000 30,000 500,000 500,000 500,000 600,000 2,251,000 $3,570,000 600,000 1,809,000 $3,049,000 600,000 1,749,000 $2,964,000 Required: 1. Calculate the following risk ratios for 2021 and 2022: (Round your answers to 1 decimal place.) 2022 2021 times times times Receivables turnover ratio Inventory turnover ratio Current ratio Debt to equity ratio times to 1 to 1 % % 2. Calculate the following profitability ratios for 2021 and 2022: (Round your answers to 1 decimal place.) 2022 2021 % % % Gross profit ratio Return on assets Profit margin Asset turnover % % % times times

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