Hello. Can someone help me understand how to answer the following question?

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Comprehensive Ratio Analysis Data for Lozano Chip Company and its industry averages follow. Lozano Chip Company: Balance Sheet as of December 31, 2019 (Thousands of Dollars) Cash $ 225,000 Receivables 1,575,000 Inventories 1,120,000 Total current assets $2,920,000 Net xed assets 1,345,000 Total assets $4,265,000 Accounts payable Notes payable Other current liabilities Total current liabilities Long-term debt Common equity Total liabilities and equity $ 600,000 100,000 515,000 $1,215,000 400,000 2,650,000 $4,265,000 Lozano Chip Company: Income Statement for Year Ended December 31, 2019 (Thousands of Dollars) Sales Cost of goods sold Selling, general, and administrative expenses Earnings before interest and taxes (EBIT) Interest expense Earnings before taxes (EBT) Federal and state income taxes (25%) Net income $7,500,000 6,375,000 919,000 $ 206,000 40,000 $ 166,000 41,500 $ 124,500 a. Calculate the indicated ratios for Lozano. Do not round intermediate calculations. Round your answers to two decimal places. Ratio Lozano Industry Average Current assets/Current liabilities 2.0 Days sales outstanding (365-day year) days 35.0 days COGS/Inventory 6.7 Sales] Fixed assets 12.1 Sales/Total assets 3.0 Net income/Sales % 1.2% Net income/Total assets % 3.6% Net income/Common equity % 9.0% Total debt/Total assets % 10.0% Total liabilities/Total assets % 60.0% b. Use the extended DuPont equation to calculate ROE for both Lozano and the industry. Do not round intermediate calculations. Round your answers to two decimal places. For the firm, ROE is %. For the industry, ROE is %. c. Outline Lozano's strengths and weaknesses as revealed by your analysis. The firm's days sales outstanding is more than twice as long as the industry average, indicating that the firm should credit or enforce a stringent collection policy. The total assets turnover ratio is well the industry average so sales should be , assets , or both. While the company's prot margin is than the industry average, its other protability ratios are compared to the industry - net income should be given the amount of equity and assets