The current ratio is

$$

$1\mathrm{.}03.($Round to two decimal$$ places.$)$

Part $2$

The quick ratio is

$$

$.38.($Round to two decimal$$ places.$)$

Part $3$

The inventory turnover is

$$

$2\mathrm{.}34.($Round to two decimal$$ places.$)$

Part $4$

The average collection period is

$$

$56\mathrm{.}6$ days. $($Round to one decimal$$ place.$)$

Part $5$

The debt ratio is

$$

$62\mathrm{.}2\%.($Round to one decimal$$ place.$)$

Part $6$

The times interest earned ratio is

$$

$3\mathrm{.}0.($Round to one decimal$$ place.$)$

Part $7$

The gross profit margin is

$$

$33\mathrm{.}7\%.($Round to one decimal$$ place.$)$

Part $8$

The net profit margin is

$$

$4\mathrm{.}6\%.($Round to one decimal$$ place.$)$

Part $9$

The return on assets is

$$

$4\mathrm{.}9\%.($Round to one decimal$$ place$)$

Part $10$

The return on common equity is

$$

$13\mathrm{.}1\%.($Round to one decimal$$ place.$)$

Part $11$

The$$ market$/$book value is

$$

$1\mathrm{.}81.($Round to two decimal$$ places.$)$

Part $12$

b$.$ Analyze Zach$$ Industries' financial condition as it is related to$(1)$ liquidity,$(2)$ activity,$(3)$ debt,$(4)$ profitability, and$(5)$ market. Summarize the$$ company's overall financial condition. $($Select all the answers that$$ apply.$)$

A$.$

$$Liquidity: Zach$$ Industries' liquidity position has deteriorated from $2021$ to $2022$ and is inferior to the industry average. The firm may not be able to satisfy$$ short$-$term obligations as they come due.

B$.$

$$Activity: Zach$$ Industries' ability to convert assets into cash has deteriorated from $2021$ to $2022.$ Examination into the cause of the $20\mathrm{.}5-$day increase in the average collection period is warranted. Inventory turnover has also decreased for the period under review and is fair compared to industry. The firm may be holding slightly excessive inventory.

C$.$

$$Debt: Zach$$ Industries' debt position has improved since $2021$ and is below average. Zach$$ Industries' ability to service interest payments has deteriorated and is below the industry average.

D$.$

$$Profitability: Although Zach$$ Industries' gross profit margin is below its industry$$ average, indicating high cost of goods$$ sold, the firm has a superior net profit margin in comparison to average. The firm has lower than average operating expenses. The firm has a superior return on investment and return on equity in comparison to the industry and shows an upward trend.

E$.$

$$Market: Zach$$ Industries' increase in their market price relative to their book value per share indicates that the$$ firm's performance has been interpreted as more positive in $2022$ than in $2021$ and it is a little higher than the industry.