Analyzing the Impact of Selected Transactions on the Current Ratio E13-10 LO13-6 i ne bombay Company, Inc., sold a line of home furnishings that included furniture, wall decora rative accessories. Bombay operated through a network of retail locations through work of retail locations throughout the United States and Canada, as well as through its direct-to-customer operations and international licensi i ne company was forced to file for bankruptcy. In its last financial statement prior to bankruptcy. Domy reported current assets of $161,604,000 and current liabilities of $113,909,000. Required: Assume the following independent transactions took place during Bombay's last year. Determine the impact of the following independent transactions on the current ratio for Bombay: 1. Sold long-term assets for cash. 2. Accrued severance pay and benefits for employees who were terminated. 3. Wrote down the carrying value of certain inventory items that were deemed to be obsolete. 4. Acquired new inventory: supplier was not willing to provide normal credit terms, so an 18-month interest-bearing note was signed