a. I have assumed the role of Shelley Edison.

Here are the calculations of the important

financial ratios:
Liquidity ratios:

Current Assets $ 129,936

i. Current Ratio= = =1.48
Current Liabilities $ 87,622
Quick Assets $ 35,609
ii. Quick Ratio= = =0.4
Current Liabilities $ 87,622
Leverage ratios:

Total Liabilities
i. Debt Ratio= =$ 207,468/$ 280,843=0.73
ToTal Assets
Total Liabilities $ 207,468
ii. Debt−¿−Net −Worth Ratio= = =2.82
Tangible Net Worth $ 73,375
EBIT $ 295,564
iii. Time−Interest−Earned Ratio= = =13.35
Total Interest Expenses $ 21,978
Operating ratios:

Cost of Goods sold $ 481,840

i. Average Inventory−Turnover Ratio= = =5.86
Average Inventory $ 82,214
Credit Sales $ 289,484
ii. Average Collection Period Ratio= = =9.93
Accounts Recievable $ 29,152
Purchases
iii. Average Payable Period Ratio= =$ 403,569/ $ 54,258=7.43
Account Payable
Profitability ratios:

Net Profit
i. Net Profit on Sales Ratio= =$ 30,189 /$ 689,247=0.04
Net Sales
Net Profit
ii. Net −Profit −¿− Assets Ratio= =$ 30,189/ $ 280,843=0.1
Net Assets
Net Profit
iii. Net −Profit −¿−Equity Ratio= =$ 30,189/$ 73,375=0.41
Owners Equity