Please do not provide answer in image formate thank you. Ratio AssignmentBike-With-Us Corporation, a specialty bicycle parts replacement venture, was started last yearby two former professional bicycle riders who had substantial competitive racing experienceincluding competing in the Tour de France. The two entrepreneurs borrowed $50,000 frommembers of their families and each put up $30,000 in equity capital. Retail space was rented and$60,000 was spent for fixtures and store equipment. Following are the abbreviated incomestatement and balance sheet information for the Bike-With-Us Corporation after one completeyear of operation.BIKE-WITH-US CORPORATION$325,000285,00010,0005,0006.000SalesOperating CostsDepreciationInterestTaxesCashReceivablesInventoriesFixed Assets, NetPayablesAccrualsLong-Term LoanStockholders' Equity$1,00030,00050,00050,00011,00010,00050,00060,000Prepare an income statement and a balance sheet for the Bike-With-Us Corporation usingonly the information provided above to calculate the following ratios, place your answeron the answer sheet and submit it in the assignment tab.Calculate the current ratio, quick ratio.Current ratio = Current Assets/Current LiabilitiesQuick Ratio = current Assets-Inventory/Current LiabilitiesCalculate the total-debt-to-total-assets ratio, debt-to-equity ratio, and interest coverageratioTotal Debt to Total Asset = Debt/AssetsDebt to Equity Ratio Debt/EquityInterest Coverage Ratio = EBITDA/InterestCalculate the net profit margin, sales-to-total-assets ratio, and the return on total assets.Net Profit Margin = Net Profits/RevenuesSales to Total Asset ratio = Sales/AssetsReturn on Total Assets = Net Profit/AssetsCalculate the operating return on assets.Operating Return on Assets = EBIT/AssetsNAMECalculate Each of the following Answercurrent ratioquick ratiototal-debt-to-total-assets ratiodebt-to-equity ratiointerest coveragenet profit marginsales-to-total-assets ratioreturn on total assetsoperating return on assetsPoints

ratio analysis is used to calculate the profitability or financial position of the firm over a…

NAME Calculate Each of the following Answer Points current ratio quick ratio total-debt-to-total-assets ratio debt-to-equity ratio interest coverage net profit margin sales-to-total-assets ratio return on total assets operating return on assets

NAME Calculate Each of the following Answer Points current ratio quick ratio total-debt-to-total-assets ratio debt-to-equity ratio interest coverage net profit margin sales-to-total-assets ratio return on total assets operating return on assets

Entrepreneurial Finance

6th Edition

ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter5: Evaluating Operating And Financial Performance

Section: Chapter Questions

Problem 3EP

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