The club was purchased last year for $1 million and uses the accrual basis of accounting. The club was capitalized as follows: Borrowed $1,000,000 at 7% interest for seven years (PMT = $185, 553; i = $70,000) Investor provided $1,500,000 to fund the new venture,Equipment: $275,000,Cash Expenses Player & Coaches Compensation: $495,000,Basketball Operations: $679,700, approximately $3,500 per away game (air, buses, parking, hotel, meals, laundry, etc.) Rent: $3,000 per game (22 home games), 1,567,500 year long ticket sales, Concessions:495,000 year long concession sales,605,000 year long parking sales, Advertising / Sponsorship (net): $777,000 Merchandise: 605,000 year long merchandise sales. The basketball team paid the city 10% for each ticket sold. This is an expense. The accounts receivable for ticket sales is $15,000 The accounts payable for business operations is $300,000 Don't forget the depreciation, amortization, & interest expenses Franchise value amortized over 15-year period Tax rate: 40%. Using the information provided,what key ratios can you create using the information that you have, What do these ratios tell you about this franchise, and What information do you need to do a more accurate analysis? Why