Assume Monsanto Company, a leading global chemical manufacturer, enters into the following transactions during 2016.
1. Purchased inventory on account.
2. Purchased plant machinery by issuing long-term debt.
3. Made a principal payment on long-term debt.
4. Paid salaries and wages.
5. Sold inventory on account for 20 percent over cost.
6. Issued stock for cash.
The fiscal 2015 balance sheet of Monsanto is as follows (dollars in millions).

Fill in a chart like the following one by indicating whether each transaction would increase (+), decrease (ˆ’), or have no effect (NE) on the quick ratio, current ratio, and debt/equity ratio. Treat each transaction independently.
Transaction             Quick Ratio             Current Ratio             Debt/Equity Ratio
1.

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Liabilities and Shareholders' Equity Current liabilities Long-term liabilities Shareholders' equity Total liabilities and shareholders' equity Assets Cash and marketable securities $ 3,748 6,877 11,295 $ 5,177 9,738 7,005 Other current assets Long-lived assets Total assets $21,920 $21,920