4. Given that the current ratio (i.e., current assets/current liabilities) for a company over the years is as shown, what can you say about the operation of this company? Table P3.1 Jumbo Construction Company Five-Year Consolidated Summary of Operations. 20x120x2 20x3 2074 2075 1.50 1.51 1.42 1.20 0.95 Table P3.2 Balance Sheet, Cyclone Construction Co. (31 December 2012) 20x4 20X3 8182,684,000 2.627.000 148.846,000 29.207.000 20X1 8462,822,000 1.005.000 434,120.000 23.220.000 Revenues Interest and dividend income Cost of contracts G&A expenses Interest expense Income before taxes Provision for income taxes Net income Net income per share Dividends per share Average number shares 20X5 8832,420,000 2.526,000 775.552.000 36,129.000 2.199.000 21.066.000 10,700,000 12.666.000 5.51 .70 2.298.000 8391.236,000 3.802.000 347.425.000 35.100,000 1.089.000 11.424.000 5,700,000 5.724.000 251 0.45 2.281.000 20X2 $214.973,000 1.300.000 183,862.000 26,676,000 5.739,000 2.800.000 2.939.000 0.33 2,236,000 7.258.000 3,000,000 3,658.000 1.62 0.35 2.252.000 6,487.000 3.500.000 2.987.000 1.34 2.230.000 Assets (a) Current assets Cash on hand and on deposit Notes receivable, current Accounts receivable, including retainage of 8265.686.39 Deposits and miscellaneous receivables Inventory.construction material Prepaid expenses Total (b) Notes receivable, non-current (c) Property Buildings Construction equipment Motor vehicles Office furniture and equipment Total (d) Less accumulated depreciation Net property 8389.927.04 16.629.39 1.222,346.26 15.867.80 26,520.14 8,490.68 1.679,791.31 12.777.97 8306,820,29 713,991.66 50,559.69 2.838.60 97.816.66 1.171.826.90 Liabilities (Current liabilities Accounts payable Due subcontractors Acerved expenses and taxes Equipment contracts. current Provision for income taxes Total (8) Deferred credits Income billed on jobs in progress at 31 December 1984 Costs incurred to 31 December 1984 on uncompleted jobs Total current liabilities Equipment contracts, non-current (h) Total liabilities 2.728.331.36 2.718.738.01 9.59.35 1,181,420.25 7.477.72 1.188,897.97 5,244.50 188,289.80 37,576.04 1.3.596.18 244,706.52 102.722.51 141.984.01 Net worth (1) Common stock, 4.610 shares Retained earings (0) Total net worth k) Total liabilities and net worth 461.000.00 184.655.32 645,655.32 1.834.553.29 (e) Total assets 1.834.553.29