Listed here, are the 2018 and 2019 balance sheets, E, and income statements, 5 , for Otago Bay Marine Motors, a major manufacturer of top-of-the-line outboard motors. a. On the basis of the information provided, calculate the following financial ratios for 2018 and 2019: EE: b. Considering the financial ratios you computed, along with the industry averages, how would you characterize the financial condition of Otago Bay Marine Motors? Explain. a. Calculate the following financial ratios for 2018 and 2019. (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 Current ratio (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 Total asset turnover (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 Debt-equity ratio % % (Round to two decimal places.) Otago Bay Marine Motors (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 Net profit margin % % (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 ROA % % (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 ROE % % Otago Bay Marine Motors 2019 2018 $ $ EPS (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 P/E ratio (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 Dividend yield % % (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 To n...-...-1!. Otago Bay Marine Motors 2019 2018 Payout ratio 1% % (Round to two decimal places.) Otago Bay Marine Motors 2019 2018 Price-to-book-value ratio Considering the financial ratios you computed, along with the industry averages, how would you characterize the financial condition of Otago Bay Marine Motors? (Select the best choice below.) A. The financial condition of Otago Bay Marine Motors appears to be stronger due to higher leverage measures and lower liquidity, activity, and profitability measures when compared with the industry averages. B. The financial condition of Otago Bay Marine Motors appears to be deteriorating due to higher leverage measures and lower liquidity, activity, and profitability measures when compared with the industry averages. C. The financial condition of Otago Bay Marine Motors appears to be deteriorating due to lower leverage measures and higher liquidity, activity, and profitability measures when compared with the industry averages. OD. The financial condition of Otago Bay Marine Motors appears to be stronger due to lower leverage measures and higher liquidity, activity, and profitability measures when compared with the industry averages. Otago Bay Marine Motors Balance Sheets ($ in thousands) As of December 31, 2019 2018 Assets Current assets Cash and cash equivalents $ 55,602 $ 86,057 Accounts receivable, net of allowances 19,286 11,579 Inventories 28,220 3,131 23,547 5,600 Prepaid expenses Total current assets 106,239 $ 126,783 Property, plant, and equipment, at cost $ 136,697 (50,219) 85,651 (45,469) Less: Accumulated depreciation and amortization Mat fivadamata O 170 in 102 Property, plant, and equipment, at cost $ $ 136,697 (50,219) 85,651 (45,469) Less: Accumulated depreciation and amortization Net fixed assets 86,478 $ 40,182 $ 101,328 $ Other assets 59,832 $ 294,045 $ 226,797 Total assets Liabilities and Shareholders' Equity Current liabilities Notes and accounts payable 5,568 $ 4,522 Dividends payable 681 1,179 20,612 Accrued liabilities 17,962 Total current liabilities 48,359 $ 23,165 Noncurrent liabilities ILI ANAA on 10A Noncurrent liabilities Long-term debt $ 40,514 20,484 Shareholders' equity Common stock 5,042 $ 8,061 Capital in excess of par value 109,065 91,065 85,312 89,775 Retained earnings Total shareholders' equity $ $ 205,172 294,045 183,148 226,797 $ $ Total liabilities and equity Average number of common shares outstanding 10,411,000 10,411,000 Otago Bay Marine Motors Income Statements ($ in thousands) For the Year Ended December 31, 2019 2018 Sales revenue $ 260,952 244,525 127,110 132,862 Cost of goods sold Gross profit margin $ 128,090 $ 117,415 70,118 70,653 $ $ Operating expenses Earnings from operations Other income (expense), net Earnings before income taxes 57,972 2,120 46,762 2,838 $ 60,092 22,835 49,600 18,848 Provision for income taxes AZEA