ORDEN ABC Income Stil For Your Ended December 31, 2014 2013 2012 2014 2013 Sales 794,500 965,400 Cost of goods sold 505 300 444,000 Gross profit from sales 289,200 520,500 Operating expenses 170,300 195, 100 Operating income 118.900 325,400 Interest expense 4.500 3,950 income before taxes 114.400 321,450 income taxes 43,500 41 800 Net income 70.900 279,650 2012 913.900 521500 392,400 183,500 208,900 4 100 204,800 41,100 163,700 ABCD Balance Sheet December 1, 2014 2013 2012 2014 Cash 12,300 Short-term investments 51 000 Accounts receivable.net 46,100 Merchandise inventory 30,200 Prepaid expenses 4.000 Notes receivable, due in 2018 13.000 Property, plant and equipment, ne 317.000 Total assets 473 600 Ciabilities and E Accounts payable 49,800 Salaries payable 10,200 income taxes payable 22,500 Long-term note payable secured by mortgage on plant assets 52.000 Share capital 230.000 Retained earnings 109 100 Total liabilities and equity 473,800 2013 2012 14 500 16,000 56,000 65,000 38 600 47,900 34,800 41.000 4,000 4100 13,500 12,500 320,000 312 000 431,400 498,500 52,000 9.900 26,600 44.000 270,000 78,900 481,400 43.000 11,800 25.700 54,000 250,000 113,400 498,500 Compute the acid-test ratio below and indicate whether the change from year to year is favourable or unfavourable. For your analysis, assume that all other things have remaine constant. Apply your analysis in very general terms All values should be accurate to at least two decimal places Ratio 2014 Measure of Analysis Acd lestras (select one) select one) 2013