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[The following information applies to the questions displayed below.] Income statements and balance sheets data for Virtual Gaming Systems are provided below.

VIRTUAL GAMING SYSTEMS
Income Statements
For the Years Ended December 31
	2025	2024
Net sales	$3,505,000	$3,031,000
Cost of goods sold	2,479,000	1,949,000
Gross profit	1,026,000	1,082,000
Expenses:
Operating expenses	954,000	857,000
Depreciation expense	29,000	26,500
Loss on sale of land	0	7,900
Interest expense	17,500	14,500
Income tax expense	7,900	47,500
Total expenses	1,008,400	953,400
Net income	17,600	128,600

VIRTUAL GAMING SYSTEMS
Balance Sheets
December 31
	2025	2024	2023
Assets
Current assets:
Cash	$200,500	$185,000	$143,000
Accounts receivable	74,500	80,000	59,000
Inventory	124,500	104,000	134,000
Prepaid rent	13,900	11,900	5,880
Long-term assets:
Investment in bonds	104,000	104,000	0
Land	299,000	209,000	239,000
Equipment	299,000	269,000	209,000
Less: Accumulated depreciation	(96,500)	(67,500)	(41,000)
Total assets	$1,018,900	$895,400	$748,880
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$193,200	$65,000	$110,580
Interest payable	8,700	5,800	2,900
Income tax payable	11,900	14,500	13,900
Long-term liabilities:
Notes payable	390,000	284,000	224,000
Stockholders' equity:
Common stock	299,000	299,000	299,000
Retained earnings	116,100	227,100	98,500
Total liabilities and stockholders equity	$1,018,900	$895,400	$748,880

Required:

1. Assuming that all sales were on account, calculate the following risk ratios for 2024 and 2025: (Round your answers to 1 decimal

	2024	2025
Receivables turnover Ratio
Inventory Turnover Ratio
Current Ratio
Debt to equity ratio

2.Calculate the following profitability ratios for 2024 and 2025

	2024	2024
Gross Profit Ratio
Return on Assets
Profit Margin
Asset Turnover