Problems and Cases 5.13 Calculating and Interpreting Risk Ratios. Refer to the financial state- ment data for Hasbro in Problem 4.24 in Chapter 4. Exhibit 5.15 presents risk ratios for Hasbro for Year 2 and Year 3. Exhibit 5.15 Risk Ratios for Hasbro (Problem 5.13) Year 3 Current ratio 1.6 Quick ratio 1.2 Operating cash flow to current liabilities ratio 0.479 Days accounts receivable outstanding Days inventory held Days accounts payable outstanding Net days of working capital financing needed Liabilities to assets ratio 0.556 1.251 0.328 Liabilities to shareholders' equity ratio Long-term debt to long-term capital ratio Long-term debt to shareholders' equity ratio Operating cash flow to total liabilities ratio Interest coverage ratio 0.489 0.245 5.6 REQUIRED a. Calculate the amounts of these ratios for Year 4. b. Assess the changes in the short-term liquidity risk of Hasbro between Year 2 and Year 4 and the level of that risk at the end of Year 4. Year 4 68 51 47 72 LO 5-3, LO 5-4 Year 2 1.5 1.1 0.548 73 68 49 91 0.621 1.639 0.418 0.720 0.238 2.3