Income statements and balance sheets data for Virtual Gaming Systems are provided below.

VIRTUAL GAMING SYSTEMS Income Statements For the year ended December 31 2019 2018 Net sales $3,465,000 $2,991,000 Cost of goods sold 2,471,000 1,941,000 Gross profit 994,000 1,050,000 Expenses: Operating expenses 946,000 849,000 Depreciation expense 21,000 22,500 Loss on sale of land 0 7,100 Interest expense 13,500 10,500 Income tax expense 7,100 43,500 Total expenses 987,600 932,600 Net income $ 6,400 $ 117,400

VIRTUAL GAMING SYSTEMS Balance Sheets December 31 2019 2018 2017 Assets Current assets: Cash $ 196,500 $177,000 $135,000 Accounts receivable 70,500 72,000 51,000 Inventory 120,500 96,000 126,000 Prepaid rent 13,100 11,100 4,920 Long-term assets: Investment in bonds 96,000 96,000 0 Land 291,000 201,000 231,000 Equipment 291,000 261,000 201,000 Less: Accumulated depreciation (76,500) (55,500) (33,000) Total assets $1,002,100 $858,600 $715,920 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 274,800 $ 57,000 $91,220 Interest payable 6,300 4,200 2,100 Income tax payable 11,100 10,500 13,100 Long-term liabilities: Notes payable 310,000 276,000 216,000 Stockholders' equity: Common stock 291,000 291,000 291,000 Retained earnings 108,900 219,900 102,500 Total liabilities and stockholders equity $1,002,100 $858,600 $715,920

References Section BreakProblem 12-6A Use ratios to analyze risk and profitability (LO12-3, 12-4) 13. value: 20.00 points Required information

You did not receive full credit for this question in a previous attempt

Problem 12-6A Part 1

Required:

1. Calculate the following risk ratios for 2018 and 2019: (Round your answers to 1 decimal place.)

receivables turnover ratio

Inventory Turnover ratio

Current Ratio

Debt to equity ratio

14. value: 20.00 points Required information

You did not receive full credit for this question in a previous attempt

Problem 12-6A Part 2

2. Calculate the following profitability ratios for 2018 and 2019: (Round your answers to 1 decimal place.)

gross profit ratio

return on assest

profit margin

asset turnover