Income Statement Sales 5,834,400 3,432,000 Cost of Goods Sold 5,728,000 2,864,000 Other expense 680,000 340,000 dep 116,960 18,900 EBIT/ LOSS 690,560 209,100 Interest expense 176,000 62,500 EBT/ LOSS -866,560 146,600 tax -346624 58640 net income/loss -519,936 87,960 Required: a) Compute at least two ratios in each area (numbered 1 to 6 below) for both years. (Note: Do not take average of two years to calculate any formula, work on individual year figure for all calculation. For example, do not take average inventory or average receivable) (3 Marks) 1. Liquidity 2. Profitability 3. Leverage 4. Efficiency ratio/Asset Activity 5. Coverage ratio 6. Market ratio b) Based on your calculations in part a, interpret and give your comments about the company's liquidity, profitability, and solvency (2 Marks)