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The following is data of two shops: Brandys Candy ($000) Lylas Burger $(000) Total Current Assets 2,500 1,800 Total Current Liabilities 1,000 1,200 Accounts Receivable

The following is data of two shops:

Brandys Candy ($000)

Lylas Burger

$(000)

Total Current Assets

2,500

1,800

Total Current Liabilities

1,000

1,200

Accounts Receivable

1,250

600

Inventory

1,100

550

Sales Revenue

8,000

6,000

Cost of Goods Sold

6,000

4,920

Net Profit

420

250

Perform the necessary ratio calculations that you as an analyst can use to discuss the profitability and the liquidity of the two shops; which of the two shops will likely to have better profitability and liquidity in the long run? Use the space provided below to list your ratios.

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