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 Assets Current assets: 990,000 1,230,000 Cash Marketable securities 300,000 2,820,000 1,920,000 Accounts receivable, net 2,300,000 3,630,000 Inventory Prepaid expenses 260,000 200,000 Total current assets 5,950,000 7700,000 9,080,000 9,580,000 Plant and equipment, net 17,280,000 15,030,000 Total assets Liabilities and Stockholders' Equity Liabilities: 4,040,000 3,040,000 Current liabilities 3,080,000 3,680,000 Note payable, 10% Total liabilities 7720,000 6120,000 Stockholders' equity: 7,000,000 7,000,000 Common stock, $70 par value 1,910,000 Retained earnings 2,560,000 8,910,000 Total stockholders' equity 9,560,000 17280,000 15,030,000 Total liabilities and stockholders' equity