Selected comparative financial statements of Korbin Company follow.

Required

1. Compute each year?s current ratio. (Round ratio amounts to one decimal.)

2. Express the income statement data in common-size percents. (Round percents to two decimals.)

3. Express the balance sheet data in trend percents with 2016 as the base year. (Round percents to two decimals.)

4. Comment on any significant relations revealed by the ratios and percents computed.

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KORBIN COMPANY Comparative Income Statements For Years Ended Deceomber 31, 2018, 2017, and 2016 2018 2017 2016 $555,000 $340,000 $278,000 Sales ... Cost of goods sold 283,500 212,500 153,900 Gross profit... 271,500 127,500 124,100 102,900 50,800 Selling expenses.... 46,920 Administrative expenses 50,668 29,920 76,840 50,660 22,800 Total expenses.. 153,568 73,600 Income before taxes. 117,932 50,500 Income tax expense. 40,800 10,370 15,670 $ 77,132 $ 40,290 $ 34,830 Net income. KORBIN COMPANY Comparative Balance Sheets December 31, 2018, 2017, and 2016 2018 2017 2016 Assets Current assets... $ 52,390 $ 37,924 $ 51,748 Long-term investments. 500 3,950 Plant assets, net.. 100,000 96,000 60,000 Total assets.. $152,390 $134,424 $115,698 Liabilities and Equity Current liabilities.. Common stock.... $ 22,800 $ 19,960 $ 20,300 72,000 72,000 60,000 Other paid-in capital. 9,000 9,000 6,000 Retained earnings.... Total liabilities and equity. 48,590 29,398 $134,424 $115,698 33,464 .... $152,390