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: 900,000 1140,000 Cash 300,000 Marketable securities 2,460,000 Accounts receivable, net 1,560,000 2,400,000 3,540,000 Inventory 250,000 Prepaid expenses 190,000 5,590,000 Total current assets 7150.000 9,400,000 8,990,000 Plant and equipment, net $16,550,000 $14,580,000 Total assets Liabilities and Stockholders' Equity Liabilities: 3,950,000 2,860,000 Current liabilities 3,020,000 3,620,000 Note payable, 10% Total liabilities 5,880,000 7570,000 Stockholders' equity: 7,500,000 Common stock, $75 par value 7,500,000 Retained earnings 1,480,000 1,200,000 8,980,000 8,700,000 Total stockholders' equity $16,550,000 14,580,000 Total liabilities and stockholders' equity