Uoyd Inc, has sales of $700,000, a net income of $42,000, and the following balance sheet: The new owner thinks that inventories are excessive and can be lowered to the point where the current rato is equal to the industry average, 2.5x, nithout affecting sales or net income. If inventories are sold and not replaced (thus reducing the current ratio to 2.5x ), if the funds generated are used to reduce common equity (stock can be repurchased at book value), and if no cthe changes cocur, by how much will the ROE change? Do not rovnd intermediate calculations. Raund your answer to two decimal places. ROE wit by percentage points: What will be the firm's new quick ratio? Do not round intermediate calculations. Aound your answer to two decimal places