Select the correct statement assume the following information:

Firm AIndustry

Current Ratio4.02.0

Quick Ratio2.51.2

Net Profit Margin2.5% 6.0%

Total Debt Ratio20%25%

TIE ratio 0.53.0

Fixed Charge Coverage ratio0.32.5

A. The company will likely not be able to pay current liabilities.

B. Unless profitability increases, the company may have a difficult time paying interest and required financial payments.

C. The firm's profitability of sales is excellent.

D. The company has used debt to finance a larger percentage of assets than the industry.