13.

Current Year Prior Year Cash $25,000 $17.000 $26,000 $35.000 Accounts receivable, net $65,000 $60,000 Inventory $2,000 Prepaid expenses $1.000 Total current assets $118,000 $113,000 Total long-term assets $162,750 $187.750 Total current liabilities $60,000 $90.000 Total long-term liabilities $22,000 $78,000 Common stock, no par $40,000 $40,000 2,500 shares, market value $96 per share Retained earnings $158.750 $92.750 The following information is for Thomas Corporation for the past two years. The current year's current ratio is: 1.26 O 3.42 0 7.40 1.97