Problem 2: Using Financial Statements (33 Marks) Using the financial statements from The Potato Grow Company in Problem 1, calculate the following long-term solvency or financial leverage ratios and the profitability ratios for 2016. For all ratios show all of your work and explain the significance of the ratio you calculated. Each ratio is worth 3 marks. 1. Total Debt Ratio 2. Debt-to-equity ratio 3. Equity multiplier 4. Inventory turnover ratio 5. Receivables turnover ratio 6. Times interest earned ratio 7. Cash coverage ratio 8. Profit margin 9. Return on equity 10. Calculate the retention ratio 11. DuPont identity ratio 2