(Ratio analysis over time) The following information comes from the accounting records of Hercep Ltd. for the first three years of its existence:

		2018		2019		2020
Statement of Financial Position
Assets
Cash		$23,300		$19,700		$27,100
Accounts receivable		67,200		50,000		144,500
Inventory		115,000		136,000		227,000
Capital assets (net)		432,000		459,000		484,000
Other assets		238,000		204,000		268,600
		$875,500		$868,700		$1,151,200
Liabilities and equity
Accounts payable		$101,000		$50,500		$101,000
Long-term debt		192,000		242,000		484,000
Common shares		521,000		521,000		521,000
Retained earnings		61,500		55,200		45,200
		$875,500		$868,700		$1,151,200
Statement of Earnings
Sales		$620,000		$770,000		$970,000
Cost of goods sold		(372,000)		(523,600)		(679,000)
Other expenses		(161,000)		(220,000)		(218,000)
		87,000		26,400		73,000
Income tax		(26,100)		(7,920)		(21,900)
Net income		$60,900		$18,480		$51,100

A) Based on above information, analyze the changes in the companys profitability and liquidity, in addition to the management of accounts receivable and inventory from 2018 to 2020. (Round answers to 1 decimal place, e.g. 13.5% or 13.5.)

	2018		2019		2020
Sales		%		%		%
Cost of goods sold		%		%		%
Gross margin		%		%		%
Other expenses		%		%		%
Income taxes		%		%		%
Net income		%		%		%

		2018			2019			2020
Current Ratio			: 1			: 1			: 1
Quick Ratio			: 1			: 1			: 1
A/R Turnover			times			times			times
Average Collection Period			days			days			days
Inventory Turnover			times			times			times
Days to Sell Inventory			days			days			days

b) Based on the above information, analyze the companys use of leverage from 2018 to 2020. (Round answers to 1 decimal place, e.g. 15.1%.)

	2018		2019		2020
Debt to Equity		%		%		%
Return on Assets		%		%		%
Return on Equity		%		%		%