Deliveries-R-Us is a public company offering express freight transportation, small package ground delivery services, and other freight services. Capital assets include a broad range of assets, including a large fleet of aircraft and vehicles.

The liability and equity portion of the SFP, and demonstrates a \(20 \times 2\) debt-to-equity ratio of \(0.65((\$ 4,524+\$ 1,930+\$ 2,342) \div \$ 13,630)\). You are a market analyst assigned to evaluate this company. You are concerned that the liabilities are significantly understated.

Required:

Analyze the information provided and prepare an analysis, both qualitative and quantitative, that explores the liability issues presented.