Required information [The following information applies to the questions displayed below.] Income statement and balance sheet data for The Athletic Attic are provided below. THE ATHLETIC ATTIC Income Statements For the years ended December 31 2022 2021 Net sales $10,540,000 $8,950,000 Cost of goods sold 6,890,000 5,500,000 Gross profit 3,650,000 3,450,000 Expenses: Operating expenses 1,610,000 1,560,000 Depreciation expense 200,000 200,000 Interest expense 41,000 41,000 Income tax expense 412,000 360,000 Total expenses 2,263,000 2,161,000 Net income $ 1,387,000 $1,289,000 Assets Current assets: Cash THE ATHLETIC ATTIC Balance Sheets December 31 2022 2021 2020 $ 226,000 $ 155,000 $ 206,000 Accounts receivable Inventory Supplies Long-term assets: Equipment Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable 991,000 1,726,000 131,000 741,000 1,356,000 101,000 761,000 1,026,000 76,000 1,140,000 1,140,000 1,140,000 (610,000) $3,694,000 (410,000) (210,000) $ 177,900 4,100 $3,083,000 $2,999,000 $ 108,000 $ Income tax payable 41,000 84,900 36,000 4,100 31,000 < Prev 12 13 of 18 M 31 Problems Required information Assets Current assets: Cash Accounts receivable Inventory Supplies Long-term assets: Equipment Less: Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and stockholders' equity $ 226,000 $ 155,000 $ 206,000 991,000 1,726,000 741,000 1,356,000 761,000 1,026,000 131,000 101,000 76,000 1,140,000 1,140,000 1,140,000 (610,000) (410,000) (210,000) $3,604,000 $3,083,000 $2,999,000 $ 177,900 $ 108,000 $ 84,900 4,100 4,100 41,000 36,000 31,000 510,000 510,000 510,000 610,000 610,000 610,000 1,759,000 2,261,000 1,819,000 $3,604,000 $3,083,000 $2,999,000 Required: 1. Calculate the following risk ratios for 2021 and 2022: (Round your answers to 1 decimal place.) Receivables turnover ratio Inventory turnover ratio Current ratio Debt to equity ratio 2021 2022 times times times times to 1 to 1 % % M < Prev 12 13 of 18 E