4.15 Loyd Inc hassales of $200,000, a net income of $15,000, and thefollowing balance sheet 1000 Accounts payable 50,000 $30000 Notes payabletobank Total current liabilities 20000 $50000 50,000 150,000 hventories Total aurrertassets $210000 Long-termdebt Netbedassets Total assets The new owner thinks that inventories are excessive and can be lowered to the point where the current ratio is equal to the industry average 2.5x, without affecting sales or net income. If inventories are sokd and not replaced (thus reducing the current ratio to 2.5x), if the funds generated are used to reduce common equity (stock can be repurchased at book value), and if no other changes occur, by how much will the ROE change? What will bethe fimsnew quick ratio? 90000 Common equity $300000 Total liabiltes and equty 200000 $3000000