The 2015 income statement of Adrian Express reports sales of $19,310,000, cost of goods sold of $12,250,000, and net income of $1,700,000. Balance sheet information is provided in the following table.

Industry averages for the following four risk ratios are as follows:
Average collection period .......25 days
Average days in inventory ........60 days
Current ratio ............ 2 to 1
Debt to equity ratio ......... 50%

Required:
1. Calculate the four risk ratios listed above for Adrian Express in 2015.
2. Do you think the company is more risky or less risky than the industry average? Explain youranswer.

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ADRIAN EXPRESS Balance Sheets December 31, 2015 and 2014 2015 2014 Assets Current assets: Cash Accounts receivable Inventory $ 700,000 1,600,000 2,000,000 4,900,000 $9,200,000 $860,000 1,100,000 1,500,000 4,340,000 $7,800,000 Long-term assets Total assets Liabilities and Stockholders' E Current liabilities Long-term liabilities Common stock Retained earnings $1,920,000 2,400,000 1,900,000 2.980,000 $9,200,000 $1,760,000 2,500,000 1,900,000 1640000 $7,800,000 Total liabilities and stockholders' equity