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 1.140,000 Cash Marketable securities 300,000 1,560,000 Accounts receivable, net 2,460,000 3,540,000 2,400,000 nventory 250,000 Prepaid expenses 190,000 Total current assets 7.150,000 5,590,000 Plant and equipment, net 9,400,000 8,990,000 Total assets $16,550,000 $14,580,000 Liabilities and Stockholders' Equity Liabilities: 3,950,000 2,860,000 Current liabilities Note payable, 10% 3,620,000 3,020,000 7570,000 5,880,000 Total liabilities Stockholders' equity: Common stock, $75 par 7,500,000 7,500,000 Value Retained earnings 1,480,000 1,200,000 Total stockholders' equity 8,980,000 8,700,000 Total liabilities and $16,550,000 $14,580,000 stockholders' equity