Use Allied Food Products Company's Income statement and balance sheet as well as additional data provided to answer the questions below. BALANCE SHEETS - Allied Food Products - December 31 2015 2014 (in millions of dollars) Assets Cash and equivalents 80 Accounts receivable 375 315 Inventories 615 415 Total current assets Net plant and equipment 1,000 Total assets ? 10 ? ? 870 ? 60 140 110 Liabilities and Equity Accounts payable Accruals Notes payable Total current liabilities Long-term bonds Total liabilities Common stock (50,000,000 shares) Retained earnings Total common equity Total liabilities and equity ? 750 ? 130 810 ? ? 30 130 60 ? 580 ? 130 750 ? ? INCOME STATEMENTS - Allied Food Products - Years Ending December 31 (in millions of dollars) 2015 2014 Net sales 3,000.0 2,850.0 Operating costs except depreciation and amortization 2,616.2 2,497.0 Depreciation and amortization 100.0 90.0 Earnings before interest and taxes (EBIT) ? ? Less interest 88.0 60.0 Earnings before taxes (EBT) 195.8 203.0 Taxes 78.3 81.2 Net income 7 ? Additional Data Year-end stock price Shares outstanding (in millions) Tax rate 2015 $23.06 50 40% 2014 $26.00 50 40% 5. Calculate and interpret Debt Ratio. Did it improve from 2014 to 2015? (8 points) 6. Calculate and interpret Average collection period. Did it improve from 2014 to 2015 (10 points) 7. Calculate and interpret Accounts Payable Deferral. Did it improve from 2014 to 2015? (10 points) 8. How does profitability of the company change from 2014 to 2015? Perform all necessary calculations. (20 points)