Industry Average Ratios Current ratio 2x Fixed assets turnover 6x Debt-to-capital ratio 17% Total assets turnover 3x Times interest earned 7x Profit margin 3.25% EBITDA coverage 9x Return on total assets 9.75% Inventory turnover 9x Return on common 15.30% equity Days sales 32days Return on invested 13.40% outstanding capital *Calculation is based on a 365-day year. Balance Sheet as of December 31, 2019 (Millions of Dollars) Cash and equivalents $115 Accounts payable $ 58 Accounts receivables 98 Other current liabilities 35 Inventories 184 Notes payable 46 Total current assets $397 Total current liabilities $ 139 Long-term debt 35 Total liabilities $ 174 Gross fixed assets 305 Common stock 150 Less depreciation 127 Retained earnings 251 Net fixed assets $178 Total stockholders' equity $ 401 Total assets $575 Total liabilities and equity $575 $ Income Statement for Year Ended December 31, 2019 (Millions of Dollars) Net sales $ 905.00 Cost of goods sold 750.00 Gross profit $ 155.00 Selling expenses 82.50 EBITDA 72.50 Depreciation expense 14.00 Earnings before interest and taxes (EBIT) 58.50 Interest expense 5.50 Earnings before taxes (EBT) $ 53.00 Taxes (25%) 13.25 Net income 39.75 $ Firm Industry Average 2x X % 17% 7x X X 9x Current ratio Debt to total capital Times interest earned EBITDA coverage Inventory turnover Days sales outstanding Fixed assets turnover Total assets turnover Profit margin Return on total assets Return on common equity Return on invested capital days X X 9x 32days 6x 3x 3.25% 9.75% 15.30% 13.40% % % % % b. Construct a DuPont equation for the firm and the industry. Do not round intermediate calculations. Round your answers to two decimal places Firm Industry Profit margin 3.25% 3x Total assets turnover Equity multiplier rible for the wrofits