The accounts below, in alphabetical order, are adapted from Danier Leather Inc.'s recent statement of financial position (amounts in thousands of dollars):

Required:
1) Prepare, in good form, a classified statement of financial position (with two years reported) for Danier Leather Inc. Assume the current year ends on June 30, 2010.
2) Compute the company's debt-to-equity ratio for the current year. How do you interpret this ratio for Danier Leather?

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Current Prior Current Prior Year Year Year Year Accounts payable and $8,170 $9,355 Other non-current $5,596 $6,399 accrued liabilities assets Accounts receivable 594 626 Prepaid expenses and Cash 21,193 22,576 other current assets 698 1,894 Income taxes payable -0- 952 Property and 25,314 28,891 Inventories 29,970 29,483 equipment, net Non-current liabilities 20,258 18,275 Retained earnings 32,214 36,902 Share capital 22,723 24,385