Financial Statement Analysis                          
For the Year Ended, December 2005                          
Jeff Boulton
IRHS Co Julie's Boulton Inc
Liquidity Ratios                          
Working Capital ($) $ 139,020 $ 277,300 $ 341,550
Current Ratio 1.5 1.7 1.5
Quick Ratio 0.7 0.5 0.5
Inventory Turnover 5.3 3.1 2.1
Inventory Turnover Period (days) 68 116 174
Accounts Receivable Turnover 13.9 18.2 16.5
Accounts Receivable Turnover Period (days) 26 20 22
Operating Cycle (days) 94 136 196
Borrowing Capacity Ratios                          
Debt Ratio (%) 49% 23% 28%
Equity Ratio (%) 51% 77% 72%
Times Interest Earned 33.7 22.7 2.7
Profitability Ratios                          
Return on Net Sales (%) 19.0% 35.1% 8.7%
Return on Equity (%) 29.6% 20.7% 2.8%
Return on Assets (%) 14.9% 20.6% 4.2%