Balance Sheet December 31, 2020 and 2019 2020 2019 Current assets Cash Short-term investments Accounts receivable, net Inventory Prepaid expenses Total current assets $6,000 7,000 22,000 31,000 $8,000 9,000 23,000 35,000 3,000 $78,000 2,000 $68,000 Property, plant, and equipment, net Other assets Total assets 33,300 27,000 $128,300 35,000 22,500 $135,500 Current liabilities Short-term borrowings Accounts payable Total current liabilities $6,400 22,000 $28,400 $12,900 23,500 $36,400 37,500 Non-current debt Total liabilities 35,000 $71,400 $65,900 Shareholders' equity Common shares Retained earnings Total shareholders' equity Total liabilities and shareholders' equity $20,000 42,400 $62.400 $20,000 44,100 $64,100 $128,300 $135,500 Additional information for year 2019: Net income from operations Interest expense $23,600 $2,650 Depreciation expense Cost of goods sold Net credit sales $1,700 $146,000 $385,000 Industry bench marks: current ratio 1.50 acid test 1.00 debt ratio .62 inventory turnover 4.10 receivable turnover 30.1 Required: Calculate the following 2020 ratios for the company: Current ratio Acid test Inventory turnover Accounts receivable turnover Debt ratio Times interest earned Based upon your calculations comment on the company's ability to: 1) pay their current liabilities 2) meet their overall liabilities 3) to sell inventory and collect accounts receivables