(Financial statement analysis)Carson Electronics' management has long viewed BGT Electronics as an industry leader and uses this firm as a model firm for analyzing its own performance. The balance sheets and income statements for the two firms are found here:

	Carson Electronics, Inc. Balance Sheet ($000)			BGT Electronics, Inc. Balance Sheet ($000)
Cash		$1,980			$1,460
Accounts receivable		4,500			5,980
Inventories		1,470			2,500
Current assets		$7,950			$9,940
Net fixed assets		15,990			25,030
Total assets		$23,940			$34,970
Accounts payable		$2,490			$5,010
Accrued expenses		970			1,500
Short-term notes payable		3,520			1,470
Current liabilities		$6,980			$7,980
Long-term debt		8,050			4,040
Owners' equity		8,910			22,950
Total liabilities and owners' equity		$23,940			$34,970

	Carson Electronics, Inc. Income Statement ($000)			BGT Electronics, Inc. Income Statement ($000)
Net sales (all credit)		$47,990			$69,990
Cost of goods sold		(36,030)			(41,990)
Gross profit		$11,960			$28,000
Operating expenses		(8,010)			(12,050)
Net operating income		$3,950			$15,950
Interest expense		(1,200)			(600)
Earnings before taxes		$2,750			$15,350
Income taxes (40%)		(1,100)			(6,140)
Net income		$1,650			$9,210

.

a.Calculate the following ratios for both Carson and BGT:

Current ratio Times interest earned Inventory turnover Total asset turnover Operating profit margin

Operating return on assets Debt ratio Average collection period Fixed asset turnover Return on equity

b.Analyze the differences you observe between the two firms. Comment on what you view as weaknesses in the performance of Carson as compared to BGT that Carson's management might focus on to improve its operations.

a.Calculate the following ratios for both Carson and BGT:

Carson's current ratio is ??????.

(Round to two decimal places.)