Fundamentals of Financial Accounting 4th Edition by Fred Phillips,Robert Libby,Patricia Libby

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Evaluating Profitability, Liquidity, and Solvency
Looking back over the last few years it is clear that Nicole Mackisey has accomplished a lot running her business Nicole's Getaway Spa (NGS). Nicole is curious about her company's performance as she compares its financial statements.


Required:
1. Was NGS more profitable in 2014 or 2015 Use the gross profit percentage, return on equity, and asset turnover ratio to help in making a decision (round each ratio to two decimal places).
2. Was NGS more liquid in 2014 or 2015 Use the current ratio and quick ratio to help in making a decision (round each ratio to two decimal places).
3. Was NGS more solvent in 2014 or 2015 Use the debt-to-assets ratio and times interest earned ratio to help in making a decision (round each ratio to two decimal places).