1-b. Based on the above calculation and analysis of TripAdvisor's current ratio 2.15, indicate which company is in a better position to pay liabilities. O Edward Allen O TripAdvisor PA2-3 Part 2 2. Analyze transactions (a)-(e) to determine their effects on the accounting equation. (Enter any decreases to account balances with a minus sign. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) Assets Liabilities Stockholders' Equity b. d . Edward Allen Interiors Inc. is a leading manufacturer and retailer of home furnishings in the United States and abroad. The following is adapted from Edward Allen's September 30, 2016, trial balance. (The amounts shown represent millions of dollars.) $109 Accounts Payable Accounts Receivable Cash 376 Common Stock Equipment Inventory Notes Payable (long-term) Notes Payable (short-term) Prepaid Rent Retained Earnings Salaries and Wages Payable Software Assume that the following events occurred in the following quarter. a. Paid $30 cash for additional inventory. b. Issued additional shares of common stock for $20 in cash. c. Purchased equipment for $170; paid $60 in cash and signed a note to pay the remaining $110 in two years. d. Signed a short-term note to borrow $10 cash. e. Conducted negotiations to purchase a sawmill, which is expected to cost $36. PA2-3 Part 1 Required: 1-a. Calculate Edward Allen's current ratio at September 30, 2016, prior to the transactions listed above. (Round your answer decimal places.) Current Ratio