RATIO ANALYSIS Data for Barry Computer Co. and its industry averages follow. Barry Computer Company: Balance Sheet as of December 31, 2016 (In Thousands) Cash $33,600 Accounts payable $73,920 Receivables 181,440 Other current liabilities 80,640 Inventories 141,120 Notes payable to bank 80,640 Total current assets $356,160 Total current liabilities $235,200 Long-term debt $147,840 Net fixed assets 315,840 Common equity 288,960 Total assets $672,000 Total liabilities and equity $672,000 Barry Computer Company: Income Statement for Year Ended December 31, 2016 (In Thousands) Sales $1,050,000 Cost of goods sold Materials $451,500 Labor 294,000 Heat, light, and power 31,500 Indirect labor 105,000 Depreciation 42,000 924,000 Gross profit $ 126,000 Selling expenses 52,500 General and administrative expenses 10,500 Earnings before interest and taxes (EBIT) $ 63,000 Interest expense 16,262 Earnings before taxes (EBT) $ 46,738 Federal and state income taxes (40%) 18,695 Net income $ 28,043 a. Calculate the indicated ratios for Barry. Round your answers to two decimal places. a. Calculate the indicated ratios for Barry. Round your answers to two decimal places. Ratio Barry Industry Average Current x 1.44x Quick 0.88x Days sales outstandinga days 29.47 days Inventory turnover x 7.81x Total assets turnover 1.86x Profit margin % 2.50% ROA % 4.64% ROE % 10.32% ROIC % 7.50% TIE 3.84x Debt/Total capital % 45.26% a Calculation is based on a 365-day year. b. Construct the DuPont equation for both Barry and the industry. Round your answers to two decimal places. FIRM INDUSTRY Profit margin % 2.50% Total assets turnover 1.86x Equity multiplier