1/ The following is December 31, 2018, post-closing trial balance for Culver City Lighting, Inc.

Account Title		Debits			Credits
Cash	$	74,000
Accounts receivable		58,000
Inventories		64,000
Prepaid insurance		34,000
Equipment		150,000
Accumulated depreciationequipment				$	53,000
Patent, net		59,000
Accounts payable					21,500
Interest payable					11,500
Note payable (due in 10, equal annual installments)					200,000
Common stock					89,000
Retained earnings					64,000
Totals	$	439,000		$	439,000

a. Calculate the current ratio. b. Calculate the acid-test ratio. c. Calculate the debt to equity ratio.

2/ The trial balance for K and J Nursery, Inc., listed the following account balances at December 31, 2018, the end of its fiscal year: cash, $28,000; accounts receivable, $23,000; inventories, $37,000; equipment (net), $92,000; accounts payable, $26,000; wages payable, $11,000; interest payable, $7,000; note payable (due in 18 months), $42,000; common stock, $74,000. Prepare a classified balance sheet for K and J Nursery, Inc. The equipment originally cost $175,000. (Amounts to be deducted should be indicated by a minus sign.)

3/

You have been asked to review the December 31, 2018, balance sheet for Champion Cleaning. After completing your review, you list the following three items for discussion with your superior:

An investment of $48,000 is included in current assets. Management has indicated that it has no intention of liquidating the investment in 2019.

A $280,000 note payable is listed as a long-term liability, but you have determined that the note is due in 10, equal annual installments with the first installment due on March 31, 2019.

Deferred revenue of $114,000 is included as a current liability even though only two-thirds will be recognized as revenue in 2019, and the other one-third in 2020.

Determine the appropriate classification of each of these items.(If no entry is required for classification, choose "No entry".)