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Q 2 . Calculate and interpret the following ratios ( listed in Table 2 ) for BestCare. Peer group average ratios are also listed in

Q2. Calculate and interpret the following ratios (listed in Table 2) for BestCare. Peer group average ratios are also listed in Table 2. Table 2 Peer Group AverageReturn on assets8.0%Current ratio1.3DCOH (assume depreciation expense is $367)41 days Average collection period7 daysDebt ratio69%Debt-to-equity ratio2.2Times interest earned ratio2.8Fixed asset turnover ratio18.5Q2. Calculate and interpret the following ratios (listed in Table 2) for BestCare. Peer group average ratios are also listed in Table 2.
Table 2
Return on assets
Current ratio
DCOH (assume depreciation expense is $367)
Average collection period
Debt ratio
Debt-to-equity ratio
Times interest earned ratio
Fixed asset turnover ratio
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