Condensed statement of financial position and income statement data for Pitka Corporation follow:

Additional information:
1. The allowance for doubtful accounts was $4,800 in 2010, $4,500 in 2011, and $5,000 in 2012. All sales were credit sales. Net cash provided by operating activities was $119,600 in 2011 and $102,000 in 2012.
Instructions
(a) Calculate the following ratios for each of 2011 and 2012:
1. Current ratio
2. Receivables turnover
3. Inventory turnover
4. Debt to total assets
5. Times interest earned
6. Cash total debt coverage
7. Return on assets
8. Profit margin
9. Asset turnover
10. Gross profit margin
(b) Identify whether the change in each ratio from 2011 to 2012 was favourable, unfavourable, or unchanged.

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PITKA CORPORATION Statement of Financial Position December 31 2012 2011 2010 Assets Current assets s 20,000 45,000 85,000 150,000 70,000 370,000 $590,000 18,000 25,000 $ 55,000 100,000 180,000 55,000 500,000 $735,000 Accounts receivable (net) 64,000 130,000 45,000 258,000 $433,000 Long-term investments Property, plant, and equipment (net) Liabilities and Shareholders' Equit Liabilities $ 85,000 80,000 Current liabilities Non-current liabilities $ 30,000 155,000 240,000 Total liabilities 165,000 50,000 300,000 125,000 425,000 $590,000 Common shares Retained earnings 330,000 165,000 495,000 $735.000 300,000 83,000 383,000 $433,000 Total shareholders' equity Total liabilities and shareholders' equity PITKA CORPORATION Income Statement Year Ended December 31 2011 2012 $740,000 Sales Less: Sales returns and allowances Net sales Cost of goods sold Gross profit Operating expenses Profit from operations Interest expense Profit before income tax Income tax expense Profit $500,000 40,000 50,000 450,000 450,000 300,000 250,000 84,000 700,000 150,000 150,000 100,000 10,000 90,000 18,000 72,000 66,000 4,000 62,000 12,400 $ 49,600