Accounts payable 12,000 7,000 Wages payable 2,000 1,000 Notes payable 6,000 4,000 Required: 1. The current ratio for December 31, 2017 and for December 31, 2016, respectively are: v 2. Baldwin's liquidity has V at the end of 2017 compared to the end of 2016 due to V increasing by V the V in current liabilities. 3. The change in composition of the company's current assets at the end of 2017 compared to the end of 2016 reflects V cash and V accounts receivable and inventory. 4. EX.02.05 Classification of Assets and Liabilities Indicate the appropriate classification of each of the following as a Current asset, Noncurrent asset, Current liability, or Long-term liability. Accounts Classification Inventory Accounts payable Cash Patents P'PPPE' Notes payable, clue in six months 6. Taxes payable 7. Prepaid rent (for the next nine months) 8. Bonds payable, clue in ten years 444444444 9. Machinery 5. EX.02.06 Selling Expenses and General and Administrative Expenses Operating expenses are subdivided between selling expenses and general and administrative expenses when a multiple-step income statement is prepared. Identify each of the following items as a Selling expense or General and administrative expense. Accounts Expense Classification 1. Advertising expense V . Depreciation expensestore furniture and fixtures 444 2 3. Office rent expense 4 . Office salaries expense