J.J. Martson owns Woodland Toys, a small business selling handmade wooden toys. Sales have been a bit slow, so he has come up with some strategies to increase sales as well as to begin exporting his specialty toys. The problem is that he needs cash to hire assistants and to purchase several woodworking tools to increase production. He has tried to figure out how he can manage the investment. He has no idea how to analyze his financial statements to provide valuable financial statements to provide valuable decision-making information. How would you recommend that he use his most recent balance sheet and the two formulas discussed in this unit to help him decide whether to expand his operation?