Using the financial statements below, answer the following:

A. Calculate the ratios listed below for 2019 and 2020.

B. Using the ratios, identify areas of concern, if any, and areas that have shown improvement, if any.

C. In a few words, what is your opinion about the company's financial health?

2019 2019 $ $ $ XYZ Corporation Income Statements For the Years 2019 and 2020 2020 Sales $ 412,500 Cost of Goods $ 318,786 Gross Profit $ 93,714 Depreciation $ 29,800 Selling & Admin. Expense $ 26,250 Other Operating Expense $ 1,210 Net Operating Income $ 36,454 Interest Expense $ 8,582 Earnings Before Taxes $ 27,872 Taxes $ 6,968 Net Income $ 20,904 $ $ $ 398,600 315,300 83,300 29,652 24,550 1,245 27,853 8,457 19,396 4,849 14,547 $ $ $ $ $ Ratio 2020 Liquidity Ratios Current Quick Efficiency Ratios Inventory Turnover A/R Turnover Average Collection Period Fixed Asset Turnover Total Asset Turnover Leverage Ratios Total Debt Ratio Long-term Debt Ratio LTD to Total Capitalization Debt to Equity LTD to Equity Coverage Ratios Times Interest Earned Cash Coverage Ratio Profitability Ratios Gross Profit Margin Operating Profit Margin Net Profit Margin Return on Total Assets Return on Equity Notes: Tax Rate 25.00% 25.00% XYZ Corporation Balance Sheets For the Years 2019 and 2020 2020 2019 $ $ $ $ $ $ Assets Cash Marketable Securities Accounts Receivable Inventory Total Current Assets Gross Fixed Assets Accumulated Depreciation Net Plant & Equipment Total Assets $ $ $ $ $ $ 16,435 3,656 45,896 52,397 118,384 436,573 87,450 349,123 467,507 $ $ $ $ $ $ 11,596 619 47,404 54,599 114,218 397,023 57,650 339,373 453,591 $ $ Liabilities & Owner's Equity Accounts Payable Accrued Expenses Total Current Liabilities Long-term Debt Total Liabilities Common Stock Retained Earnings Total Owner's Equity Total Liab. & Owner's Equity $ $ $ 37,752 $ 3,183 $ 40,935 $ 170,562 $ 211,497 $ 195,471 $ 60,539 $ 256,010 $ 467,507 $ 36,819 3,085 39,904 178,581 218,485 195,471 39,635 235,106 453,591 $ $ $ $