Analysis Component: Identify whether the ratios calculated above are favourable or unfavourable to the industry averages....

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Analysis Component: Identify whether the ratios calculated above are favourable or unfavourable to the industry averages. a. Current ratio b. Quick ratio c. Days' sales uncollected d. Inventory turnover e. Days' sales in inventory Industry Average 1.6:1 1.1:1 21 days 5 times 70 days f. Ratio of pledged plant assets to secured liabilities 1.4:1 g. Times interest earned 50 times h. Profit margin 14% i. Total asset turnover 2.3 times j. Return on total assets 20% k. Return on common shareholders' equity 32.7% Analysis Component: Identify whether the ratios calculated above are favourable or unfavourable to the industry averages. a. Current ratio b. Quick ratio c. Days' sales uncollected d. Inventory turnover e. Days' sales in inventory Industry Average 1.6:1 1.1:1 21 days 5 times 70 days f. Ratio of pledged plant assets to secured liabilities 1.4:1 g. Times interest earned 50 times h. Profit margin 14% i. Total asset turnover 2.3 times j. Return on total assets 20% k. Return on common shareholders' equity 32.7%