The 2023 financial statements of Outdoor Waterworks Inc. follow: Outdoor Waterworks Inc. Income Statement For Year Ended December 31, 2023 Net sales Cost of goods sold: $1,106,000 Inventory, Dec. 31, 2022 Purchases Goods available for sale Inventory, Dec. 31, 2023 Cost of goods sold Gross profit from sales Operating expenses Operating profit Interest expense Profit before taxes Income taxes Profit 82,360 614,840 $ 697,200 61,140 636,060 $ 469,940 287,360 $ 182,580 12,800 $ 169,780 19,564 $ 150,216 Assets Outdoor Waterworks Inc. Balance Sheet December 31, 2023 Cash $ 23,600 Current non-strategic investments Accounts receivable, net 26,160 53,480 Notes receivable 11,960 Inventory 61,140 Prepaid expenses 6,040 Plant and equipment, net 333,520 Total assets Liabilities and Equity $515,900 Total assets Liabilities and Equity Accounts payable $515,900 $ 49,400 Accrued wages payable 6,520 Income taxes payable 7,380 Long-term note payable, secured by mortgage on plant 118,200 Common shares, 160,000 shares 199,000 Retained earnings 135,400 Total liabilities and equity $515,900 Assume all sales were on credit. Also assume the long-term note payable is due in 2026, with no current portion. On the December 31, 2022, balance sheet, the assets totalled $439,720, common shares were $199,000, and retained earnings were $111,840. Required: Calculate the following: (Use 365 days in a year. Do not round your intermediate calculations. Round the answers to 2 decimal places.) a. Current ratio b. Quick ratio c. Days' sales uncollected to 1 to 1 days d. Inventory turnover e. Days' sales in inventory f. Ratio of pledged plant assets to secured liabilities g Times interest earned h. Profit margin i. Total asset turnover times days to 1 times % times h. Profit margin i. Total asset turnover j. Return on total assets % times % k. Return on common shareholders' equity % Analysis Component: Identify whether the ratios calculated above are favourable or unfavourable to the industry averages. a. Current ratio b. Quick ratio c. Days' sales uncollected d. Inventory turnover e. Days' sales in inventory Industry Average 1.6:1 1.1:1 21 days 5 times 70 days 50 times f. Ratio of pledged plant assets to secured liabilities 1.4:1 g. Times interest earned h. Profit margin i. Total asset turnover j. Return on total assets k. Return on common shareholders' equity 14 % 2.3 times 20 % 32.7%