The following summaries from the income statements and balance sheets of Neeko Inc. and Saxony Inc. are presented below.

Income Statement For the year ended on Dec 31, 2019
For the year ended December 31, 2019
	Neeko Inc.	Saxony Inc.
Revenues	$10,697	$133,500
Cost of sales	6,313	87,300
Gross profit	4,384	46,200
Operating expenses	3,438	37,300
Operating income	946	8,900
Interest expense	(43)	(100)
Other Revenue / (Expenses)	(46)	300
Income before taxes	857	9,100
Income taxes	(383)	3,900
Net income	$474	$5,200

Balance Sheets as at December 31
	Neeko Inc.		Saxony Inc.
	2019	2018	2019	2018
Current Assets
Cash and cash equivalent	$634	$576	$34,500	$22,200
Accounts receivable, net of allowance	2,101	1,804	15,500	14,700
Inventories	1,515	1,374	27,200	28,400
Other current assets	430	401	3,500	4,200
Total current assets	4,680	4,155	80,700	69,500
Property, plant, and equipment, net	1,621	1,614	5,700	7,000
Other long-term assets	413	671	1,100	1,500
Total assets	$6,714	$6,440	$87,500	$78,000
Liabilities and Stockholders Equity
Current Liabilities
Current portion of long-term debt	$206	$55
Accounts payable	648	930	$8,500	$6,600
Income taxes payable	107	83	0	0
Accrued liabilities	1,054	765	7,800	5,600
Total current liabilities	2,015	1,833	16,300	12,200
Long-term liabilities	708	768	2,500	2,600
Total liabilities	2,723	2,601	18,800	14,800
Shareholders equity
Share Capital-ordinary	1,000	1,000	2,300	2,300
Share Premium	352	344	10,500	10,200
Retained earnings	2,639	2,495	55,900	50,700
Total shareholders equity	3,991	3,839	68,700	63,200
Total liabilities and shareholders equity	$6,714	$6,440	$87,500	$78,000

Part A

Compute the following ratios for both companies for the year of 2019.

(a) Current ratio

(b) Acid-test ratio

(c) Accounts receivable turnover

(d) Inventory turnover

(e) Days' sales in inventory

(f) Days' sales uncollected

(g) Profit margin ratio

(h) Return on total assets

(i) Return on ordinary shareholders equity

(j) Debt-to-Equity Ratio

(Note: Round your answer to 1 decimal place)

Part B

(1) Which company do you consider to be the better short-term liquidity position and lower credit risk? Explain.

(2) Which company do you consider have better profitability?