Paul Sabin organized Sabin Electronics 10 years ago in order to produce and sell several electronic devices on which he had secured patents Although the company has been fairly profitable, it is now experiencing a severe cash shortage. For this reason, it is requesting a $500,000 long-term loan from Gulfport State Bank, $100,000 of which will be used to bolster the cash account and $400,000 of which will be used to modernize certain key items of equipment The company's financial statements for the two most romont.inn.- c-il. SABIN ELECTRONICS During the past year, the company introduced several new product lines and raised the selling prices on a number of old product lines in order to improve its profit margin. The company also hired a new sales manager, who has expanded sales into several new ternitories. Sales terms are 2/10,n/30. All sales are on account. Assume that the following ratios are typical of firms in the electronics industry. Required: 1. To assist the Gulfport Bank in making a dedision about the loan, compute the following ratios for both this year and last year (Use 365 days a year. Round your intermediate calculations to 1 decimal place. Round Debt-to-equity ratio to 3 decimal ploces and other answers to 2 dedimal places.): a. The amount of working capital. b. The current ratio. c The acid-test (quick) ratio. d. The average age of receivables (the accounts receivable at the beginning of last year totalled \$252,000). e. The inventory turnover in days (the inventory at the beginning of last year totalled $504,000 ). t The debt-to-equity ratio. g. The times interest earned 2. For both this year and last year. (a) Present the balance sheet in common-size format. (Leave no cells blank- be cer tain to enter "0" wherever required. Round your answers to 1 decimal place.) (b) Present the income statement in common-size format down through net income. (Input all values as positive values. Round yaur answers to 1 decimal place.)