1-Giving the following balance sheet for ABC CO, CALCULATE THE FOLLOWING A-THE LIQUIDITY RATIO ?AND WHAT DOES IT MEAN ? B-DEFINE THE BALANCE SHEET AND HOW IT HELP IN MANAGERIAL ACCOUNTING DECISIONS ....... (3 marks) ASSETS Current assets Cash and cash equivalents Accounts receivable Inventory Prepaid expense Investments Total current assets BALANCE SHEET December 31, 2100 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities $ 100,000 Accounts payable $ 30,000 20,000 Notes payable 10,000 15,000 Accrued expenses 5,000 4,000 Deferred revenue 2,000 10,000 Total current liabilities 47,000 149,000 Long-term debt 200,000 Total liabilities 247,000 Property and equipment Land Buildings and improvements Equipment Less accumulated depreciation 24,300 250,000 50,000 (5,000) Shareholders' Equity Common stock Additional paid-in capital Retained earnings Treasury stock 10,000 20,000 197, 100 (2,000) Other assets Intangible assets Less accumulated amortization 4,000 (200) Total liabilities and shareholders' equity $ 472,100 Total assets $ 472,100