You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a comprehensive analysis of the company's financial statements, including comparing Lydex's performance to its major competitors. The company's financial statements for the last two years are as follows: Lydex Company Comparative Balance Sheet This Year Last Year $ 980,000 $ 1,220,000 2,780,000 3,620,000 300,000 1,880,000 2,200,000 Assets Current assets: Cash Marketable securities Accounts receivable, net Inventory Prepaid expenses Total current assets Plant and equipment, net Total assets Liabilities and Stockholders' Equity Liabilities: Current liabilities Note payable, 108 Total liabilities Stockholders' equity: Common stock, $75 par value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity 260,000 7,640,000 9,560,000 $17,200,000 200,000 5,800,000 9,070,000 $14,870,000 $ 4,030,000 3,680,000 7,710,000 $ 3,020,000 3,080,000 6,100,000 7,500,000 7,500,000 1,990,000 1,270,000 9,490,000 8,770,000 $17,200,000 $14,870,000 Lydex Company Comparative Income Statement and Reconciliation This Year Last Year