2. Selected data from Climate Inc. most recent balance sheet and Income Statement appear below.

AssetsLiabilities and Stockholders' Equity

Current AssetsCurrent Liabilities

Cash$ 15,000Accounts Payable$257,040

Marketable Securities375,000Accrued Payables98,000

Accounts Receivable, (Net)125,000Notes Payable, Short Term346,000

Inventory347,000Total Current Liabilities701,040

Prepaid Rent12,000

Supplies300Long Term Liabilities

Total Current Assets876,300Notes Payable (Due 2021)450,000

Bonds Payable600,000

Total Long Term Liabilities1,050,000

Long Term AssetsTotal Liabilities1,751,040

Property Plant Equip.1,878,500Stockholders' equity

Land157,000Common stock500,000

Patents67,000Retained Earnings727,760

Total Long Term Assets2,102,500Total Stockholders' Equity1,227,760

Total Assets$2,978,800Total Liab. & Stock. Equity$2978,800

Income Statement

Sales$875,050

Cost of Goods Sold494,550

Gross Margin380,500

Selling Expenses160,800

Administrative Expense149,600

Net Operating Income70,100

Interest Expense25,500

Income taxes31,600

Net income$ 13,000

A. What is Climate's current ratio? ..................................... _______________

B. What is Climate's Acid-test ratio? ...................................._______________

C. What is Climate's Working Capital..................................... ______________

D. What is Climate's Times Interest Earned ratio? .................... _______________