The financial statements for Armstrong and Blair companies for the current year are summarized below: Armstrong Company Blair Company Statement of Financial Position Cash Accounts receivable (net) Inventory Property, plant, and equipment (net) Other non-current assets Total assets Current liabilities Long-term debt (10%) Share capital Contributed surplus Retained earnings Total liabilities and shareholders' equity Statement of Earnings Sales revenue (1/3 on credit) Cost of sales Expenses (including interest and income tax) Net earnings $ 34,600 58,000 200,000 199,000 96,000 $ 578,600 $ 148,000 76,500 217,500 41,000 95,600 $ 578,600 $ 25,000 42,000 45,000 489, eee 345,000 $ 937,000 $ 49,500 72,000 600,000 148,500 67,000 $ 937,000 $ 620,000 (310,000) (223,200) $ 86,800 $ 990,000 (445,500) (396,000) $ 148,500 Selected data from the financial statements for the previous year follows: Armstrong Company $ 37,000 75,000 Blair Company $ 57,000 29,000 72,000 76,500 Accounts receivable (net) Inventory Long-term debt Other data: Share price year-end Income tax rate Dividends declared and paid Shares Outstanding $ 18 30% 44,000 15,000 $ $ 15 30% $320,000 50,000 The companies are in the same line of business and are direct competitors in a large metropolitan area. Both have been in business approximately ten years, and each has had steady growth. The management of each has a different viewpoint in many respects. Blair Company is more conservative, and as its president said, We avoid what we consider to be undue risk." Neither company is publicly held. Armstrong Company has an annual audit by an independent auditor, but Blair Company does not. Required: 1. Complete a schedule that reflects a ratio analysis of each company. Use ending balances if average balances are not available. (Round intermediate calculations and final answers to 2 decimal places.) HINT: To calculate Current Ratio, you will need to first calculate the total Current Assets. Armstrong Company Blair Company % % % % per share per share Ratio Profitability ratios Gross profit percentage Profit margin Earnings per share Asset turnover ratios Fixed Asset turnover Receivables turnover Inventory turnover Liquidity ratios Current ratio Market tests Pricelearnings ratio Dividend yield ratio times times times times times times % %