The following data is extracted from the financial statements prepared by LIBRA Company for the year 2020 Income Statement Sales 700000 Cost of Sales 500000 Gross Profit 200000 Operating expense 60000 EBIT (Operating profit) 140000 Interest expense 20000 EBT 120000 Taxes 30000 Net Income 90000 NB* - Out of the total sales $300000 was recorded as cash sales. Balance Sheet Assets Liabilities Current Assets Current Liabilities Cash 80,000 Accounts Payable 45,000 Accounts Receivable 40,000 Notes payable 45,000 Inventory 80,000 Taxes payable 30,000 Supplies 30,000 Total Current Liab 120,000 Total Current Assets 230,000 Long-term Liab Fixed Assets Long-term loan 80,000 Equipment 270,000 Total Liabilities 200,000 Equity/Capital ABC Co. Equity 300,000 Total Assets 500,000 Total Liab & Equity 500,000 Required: Calculate the following ratios I- Liquidity Ratios Current Ratios* (if the Industry average is 2. 5 times) Acid-test Ratio ii) Efficiency Ratios Inventory Turnover Receivable Turnover* ( the previous year the turnover was 8 times) iii) Profitability Ratios Gross Profit Margin* ( If the Industry average is 35% what do you say about the LIBRA Company and what measures should they take to increase the percentage) Operating Profit Margin Net Profit Margin iv) Leverage Ratios Debt to Asset Ratio* ( In general how much percentage is safe and accepted in Accounting) Interest Coverage Ratio