Problem 1) (40 points) Though his sales are increasing from year to year, Elmer Fudd, President of Fudd Enterprises, is concerned because his competitors are stealing some of his prime customers (he is, in effect, beginning to lose his share of the market). Puzzled by these developments, he has hired you to analyze his financials. He has given to you the following key financial items from his annual statements:
			2019	2018	2017	2016	2015
Net Sales			$298,000	$256,000	$213,000	$165,000	$135,000
Cost of Goods Sold			125,000	108,000	89,000	69,000	57,000
Ending Gross Receivables			26,000	26,000	25,000	25,000	23,000
Ending Inventory			24,000	18,000	12,000	8,000	4,000
Total Current Assets			52,000	46,000	39,000	37,000	32,000
Total Current Liabilities			$24,000	$23,000	$22,000	$21,000	$18,000
First of all, calculate out the current ratio, quick ratio, Working Capital, Days Sales in Receivables (DSR) and Days Sales in Inventory (DSI) for all 5 years to assist in helping you better evaluate Fudd's issues (25 points). Then, focusing on the liquidity ratios you have calculated and the figures that Fudd has provided, please comment on Fudd's liquidity position and the trends that the liquidity ratios show (15 points). (Keep in mind, a rising current ratio isn't always a good thing.) There are no industry average figures available to review - make your assessment of the strengths or weaknesses in Fudd's liquidity based solely on the numbers provided and on the ratios you have calculated.