2-2 (Balance Sheet).Calculate Casello Mowing & Landscaping Total Stockholder's Equity. Use the data provided in the problem(page 48).

Current Assets: $435,200

Fixed assets: $550,800

Liabilities: $416,600

Long term debt: #314,500

2-3 (Income Statement). Calculate The Fitness Studio, Inc. 2018 Taxes. Use the data provided in the problem (page 49).

EBIT: $538,000

Interest expense: 63,000

Net income $435,000

2-4 (Income Statement). Calculate The Fitness Studio, Inc. 2018 Earnings Per Share. Use the data provided in the problem (page 49).

EBIT: $773,500

Interest expense: $100,000

Taxes: $234,500

No preferred stock- 100 shares common stock

Answer the following questions:

1. What is the difference between current liabilities and long-term debt?

2. What is the difference between debt and equity in financing?