| Problem 13-03A (Essay) Condensed balance sheet and income statement data for Jergan Corporation are presented here. JERGAN CORPORATION Balance Sheets December 31 | | | 2022 | | 2021 | | 2020 | Cash | | $ 30,000 | | $ 20,000 | | $ 18,000 | Accounts receivable (net) | | 50,000 | | 45,000 | | 48,000 | Other current assets | | 90,000 | | 95,000 | | 64,000 | Investments | | 55,000 | | 70,000 | | 45,000 | Plant and equipment (net) | | 500,000 | | 370,000 | | 358,000 | | | $725,000 | | $600,000 | | $533,000 | Current liabilities | | $ 85,000 | | $ 80,000 | | $ 70,000 | Long-term debt | | 145,000 | | 85,000 | | 50,000 | Common stock, $10 par | | 320,000 | | 310,000 | | 300,000 | Retained earnings | | 175,000 | | 125,000 | | 113,000 | | | $725,000 | | $600,000 | | $533,000 | JERGAN CORPORATION Income Statements For the Years Ended December 31 | | | 2022 | | 2021 | Sales revenue | | $740,000 | | $600,000 | Less: Sales returns and allowances | | 40,000 | | 30,000 | Net sales | | 700,000 | | 570,000 | Cost of goods sold | | 425,000 | | 350,000 | Gross profit | | 275,000 | | 220,000 | Operating expenses (including income taxes) | | 180,000 | | 150,000 | Net income | | $ 95,000 | | $ 70,000 | Additional information: 1. | | The market price of Jergans common stock was $7.00, $7.50, and $8.50 for 2020, 2021, and 2022, respectively. | 2. | | You must compute dividends paid. All dividends were paid in cash. | Discuss briefly the improvement or lack thereof in the financial position and operating results from 2021 to 2022 of Jergan Corporation using the following ratios, profit margin, gross profit rate, asset turnover, earnings per share, price-earnings ratio, payout ratio and debt to assets ratio. | | |