(Analyzing common-size financial statements) Use the common-size financial statements found here: LOADING... to respond to your boss' request that you write up your assessment of the firm's financial condition. Specifically, write up a brief narrative that responds to the following questions: a. How much cash does Patterson have on hand relative to its total assets? b. What proportion of Patterson's assets has the firm financed using short-term debt? Long-term debt? c. What percent of Patterson's revenues does the firm have left over after paying all of its expenses (including taxes)? d. Describe the relative importance of Patterson's major expense categories, including cost of goods sold, operating expenses, and interest expenses.

Common-Size Balance Sheet 2016 Cash and marketable securities $ 450 1.4 % Accounts receivable 6,050 18.3 Inventory 9,550 28.9 Total current assets $ 16,050 48.5 % Net property, plant, and equipment 17,040 51.5 Total assets $ 33,090 100.0 % Accounts payable $ 7,230 21.8 % Short-term notes 6,810 20.6 Total current liabilities $ 14,040 42.4 % Long-term liabilities 6,950 21.0 Total liabilities $ 20,990 63.4 % Total common shareholders equity 12,100 36.6 Total liabilities and shareholders equity $ 33,090 100.0 % Common-Size Income Statement 2016 Revenues $ 30,050 100.0 % Cost of goods sold (20,000) 66.6 Gross profit $ 10,050 33.4 % Operating expenses (8,010) 26.7 Net operating income $ 2,040 6.8 % Interest expense (940) 3.1 Earnings before taxes $ 1,100 3.7 % Income taxes (400) 1.3 Net income $ 700 2.3 %