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 os follows:

Problem $14-15$ Part $1($Algo$)$

Required:

You decide first to assess the company's performance in terms of debt management and profitability. Compute the following for both

this yesr and lost yeor: $($Round your "Percentage" answers to $1$ decimal place and other answers to $2$ decimal places.$)$

o$.$ The times interest eorned rotio.

b$.$ The debt$-$to$-$equity ratio.

c$.$ The gross margin percentage.

d$.$ The return on totol sssets. $($Totol sssets ot the beginning of lost year were $$13,060,000.)$

e$.$ The return on equity. $($Stockholders$\text{'}$ equity at the beginning of last yesr totaled $$8,357,600.$ There has been no change in common

stock over the lost two years.$)$

f$.$ Is the compony's finseisl leverage positive or negative? I need help because I calculated the numbers wrong. For the times interest earned ratio I got $3\mathrm{.}01$ for this year and $4\mathrm{.}78$ for last year but these are incorrect. To calculate this correctly be sure to use the formula: $($Times interest earned ratio$=$earnings before interest expense and income taxes $/$ interest expense$).$ I also calculated the return on total assets incorrectly I got $6\mathrm{.}9\%$ for this year and $10\mathrm{.}5\%$ for last year. These were also incorrect. So to get the Return on total assets use this formula: $\{$Net income$+[$Interest Expense$*(1-$Tax rate$]\}/$Average total assets $\}$ using these two formulas should calculate the correcr answers. Thank you so much! I need to get the correct answers and see what I did wrong by midnight!!!