Scenario 2 On a whim, you buy a scratch-off lottery ticket and win $10,000. You decide that the prudent action would be to invest this money by purchasing shares in a publicly-traded company. Your friend, Natalie, recommended that you should look at Escalade, International because she believes that its stock is a safe investment with significant growth potential. You decide to pull the following, abbreviated financials and information related to Escalade from the internet: 2Additional information Assets Cash Short-term marketable securities Accounts receivable (net)) Inventory. Property, plant, and equipment (net), Total assets Liabilities and stockholders' equity Accounts payable Short-term notes payable. Bonds payable. Common stock, ESCALADE, INCORPORATED Comparative Balance Sheet For the Year Ended December 31, 2023 Retained earnings Total liabilities and stockholders' equity i ESCALADE, INCORPORATED Income Statement For the Year Ended December 31, 2023 1 of 3 2023 $ 35,000 15,000 2022 $ 40,000 60,000 50,000 30,000 50,000 70,000 250,000 $400,000 300,000 $500,000 $ 10,000 $ 30,000 40,000 88,000 90,000 160,000 160,000 145,000 102,000 75.000 $400,000 $500.000 Net sales Cost of goods sold. Gross profit Expenses Administrative expenses.. Selling expenses... Interest expense. Total expenses. Operating income. Income tax expense. Net income ESCALADE, INCORPORATED Income Statement For the Year Ended December 31, 2023 $360,000 198,000 162,000 $59,000 40,000 12,000 111,000 51,000 15,000 $ 36,000 1. Cash dividends of $9,000 were declared and paid in 2023. 2. Weighted-average number of shares of common stock outstanding during 2023 was 30,000 shares. 3. Market value of common stock on December 31, 2023, was $21 per share 4. Industry averages: . Current ratio - 4:1 Return on common stockholder's equity- 16.4% Price-earnings ratio 18.4 times . Earnings per share -5 $1.35 . . Average Collection Period-31.2 days Average days in inventory - 27.1 days . Quick ratio-2:1 . Times interest earned - 6.0 times . Profit margin- 10.2% Return on assets-7.9% . Debt ratio 52% . Equity ratio-48% . Debt-to-equity ratio - 1.08 2 of 3 . Average Collection Period -31.2 days Average days in inventory - 27.1 days Quick ratio 2:1 Times interest earned - 6.0 times Profit margin - 10.2% .Return on assets-7.9% . . Debt ratio 52% Equity ratio-48% Debt-to-equity ratio - 1.08 Required Analyze the financial statements and make a determination about whether you would purchase shares of Escalade? Be sure to provide justification for your decision. My expectation is that you perform a ratio analysis and, in your justification, discuss the results of that analysis in relation to the industry averages