The following are a condensed 2014 income statement and a December 31, 2014 balance sheet for Murf Company: 6-46 MURF COMPANY Income Statement For Year Ended December 31, 2014 Sales $154,000 Cost of goods sold (91300) Gross profit$62,700 Operating expenses 47,300) Interest expense Net (2,800) 12.600 $ MURF COMPANY Balance Sheet December 31, 2014 $ 3,200 2..oo 7,370 9,650 Marketable securities (short-term)...............- Inventory Property and equipment (ne Total Assets 97,680 $120,000 Current Note payable (due 12/31/1 Total Liabilities S. Murf, capital 12,400 35,000 $47,400 72,600 Total Liabilities and Owner's Equity.$120,000 On January I. 2014, the accounts receivable were $6,050, the inventory was $10,950 the total assets were $110,000, and the owner's capital was $62.600. The company makes 60% of its net sales on credit and operates on a 300-day business year. At the end of 2013, the following ratio results were computed, based on the company's finan- cial statements for 2013: (a) Current (b) Quick (c) Debt (d) Inventory Turnover (e) Accounts Receivable Turnover 2.0 1.3 43.3% 8.5 times (35.3 days) 13.6 times (22.1 days) (f) Gross Profit Percentage (8) Profit Margin (h) Return on Total Assets 0) Return on Owner's Equity The company has hired 2014 with that in 2013. 39.2% 7.8% 12.4% 17.0% you to update its ratio results and compare its performance in Required(1) Compute the preceding ratios for 2014 (2) Write a short report that compares the company's performance in 2014 with that in 2013 regarding its liquidity, financial flexiblity, operating capa bility, and profitability