solve a. b. c. d.

(Analyzing common-size financial statements) Use the common-size financial statements found here: [ to respond to your boss' request that you write up your assessment of the firm's financial condition. Specifically, write up a brief narrative that responds to the following questions: a. How much cash does Patterson have on hand relative to its total assets? b. What proportion of Patterson's assets has the firm financed using short-term debt? Long-term debt? c. What percent of Patterson's revenues does the firm have left over after paying all of its expenses (including taxes)? d. Describe the relative importance of Patterson's major expense categories, including cost of goods sold, operating expenses, and interest expenses.Common-Size Income Statement 2016 Revenues $ 30,050 100.0 % Cost of goods sold (20,020) 66.6 Gross profit $ 10,030 33.4 % Operating expenses (8,050) 26.8 Net operating income $ 1,980 6.6 % Interest expense (930) 3.1 Earnings before taxes 1,050 3.5 % Income taxes (382) 1.3 Net income 668 2.2%Common-Size Balance Sheet 2016 Cash and marketable securities 480 1.5 % Accounts receivable 6,010 18.2 Inventory 9,480 28.7 Total current assets S 15,970 48.4 % Net property, plant, and equipment 17,030 51.6 Total assets 33,000 100.0 /% Accounts payable 7,220 21.9 % Short-term notes 6,800 20.6 Total current liabilities S 14,020 42.5 % Long-term liabilities 6,950 21.1 Total liabilities S 20,970 63.5 % Total common shareholders' equity 12,030 36.5 Total liabilities and shareholders' equity S 33,000 100.0 % Common-Size Income Statement 2016