You are the manager of a credit department. The sales team has presented a large order from a new purchaser, Wizard Industries. For approximately $12$ years, Wizard has been installing security and water sprinkler systems in office buildings. The salespeople have been well trained, as they have also presented you with the following financial statements and industry ratios $($from your files$).$ In their report they note that sales have increased in the last two years due to Wizard's more aggressive selling approach. The sales team is eager for you to grant credit to Wizard Industries. Of course, you must do a complete analysis noting any ratios that are cause for concern or require a further explanation. What is your recommendation? Do you grant credit?Wizard Industry Income Statement Year endedSelected Industry ratios Profit margin. $\backslash (5\mathrm{.}8\backslash \%\backslash )$ Return on assets $($investment$)\backslash (8\mathrm{.}1\backslash \%\backslash )$ Return on equity. $\backslash (20\mathrm{.}3\backslash \%\backslash )$ Receivables turnover $.\backslash (\mathrm{.}6\mathrm{.}3$ x $\backslash )$ Average collection period $\mathrm{.}58\mathrm{.}3$ day Inventory turnover $\backslash (\mathrm{.}4\mathrm{.}3$ x $\backslash )$ Capital asset turnover... $\backslash (\mathrm{.}8\mathrm{.}0$ x $\backslash )$ Current ratio... $1\mathrm{.}6$ Total asset turnover. $\backslash (1\mathrm{.}7$ x $\backslash )$ Quick ratio. $1\mathrm{.}1$ Debt to total assets... $\backslash (60\backslash \%\backslash )$ Times interest earned. $\backslash (4\mathrm{.}3$ x $\backslash )$