The financial statements for Royale and Cavalier companies are summarized here: Balance Sheet Cash Accounts Receivable, Net Inventory Equipment, Net Other Assets Total Assets Current Liabilities Notes Payable (long-term) Common Stock (par $20) Additional Paid-In Capital Retained Earnings Total Liabilities and Stockholders' Equity Sales Revenue Income Statement Cost of Goods Sold Other Expenses Net Income Other Data Per share price at end of year Accounts Receivable, Net Notes Payable (long-term) Equipment, Net Inventory Selected Data from Previous Year Royale Company $ 33,000 63,000 126,000 566,000 148,000 $ 936,000 $ 136,000 206,000 488,000 58,000 48,000 $ 936,000 $ 824,000 488,000 248,000 $ 88,000 $ 20.00 $ 55,000 206,000 566,000 103,000 594,000 Cavalier Company $ 53,000 24,000 41,000 176,000 54,000 $ 348,000 $ 31,000 71,000 218,000 12,000 16,000 $ 348,000 $ 304,000 158,000 103,000 $ 43,000 $ 12.00 $ 22,000 71,000 176,000 46,000 Total Stockholders' Equity 246,000 These two companies are in the same business and state but different cities. Each company has been in operation for about 10 years. Both companies received an unqualified audit opinion on the financial statements. Royale Company wants to borrow $83,000 cash and Cavalier Company is asking for $38,000. The loans will be for a two-year period. Both companies estimate bad debts based on an aging analysis, but Cavalier has estimated slightly higher uncollectible rates than Royale. Neither company issued stock in the current year. Assume the end-of-year total assets and net equipment balances approximate the year's average and all sales are on account. Required: 1. Calculate the following ratios. (Use 365 days in a year. Round your intermediate calculations and final answers to 2 decimal places.) Ratio Royale Company Cavalier Company Tests of Profitability: 1. Net Profit Margin 2. Gross Profit Percentage 3. Fixed Asset Turnover 4. Return on Equity 5. Earnings per Share 6. Price/Earnings Ratio Tests of Liquidity: 7. Receivables Turnover 7. Days to Collect 8. Inventory Turnover 8. Days to Sell 9. Current Ratio Tests of Solvency: 10. Debt-to-Assets % % % % % %