Calculate the working capital, current ratio, and acid-test ratio for Tibbetts Company as of September 30, 2022. Note: Round "Ratio" answers to 2 decimal places. Selected balance sheet accounts for Tibbetts Company on September 30,2022, are as follows: Required: a. Calculate the working capital, current ratio, and acid-test ratio for Tibbetts Company as of September 30, 2022. b. Summarized here are the transactions/events that took place during the fiscal year ended September 30, 2023. Prepare journal entries for the below transactions and indicate the effect of each item on Tibbetts Company's working capital, current ratio, and acid-test ratio. Use + for increase, - for decrease, and (NE) for no effect. 1. Credit sales for the year amounted to $312,000. The cost of goods sold was $202,800. 2. Collected accounts recelvable, $327,600. 3. Purchased inventory on account, $218,400. 4. Issued 650 shares of common stock for $23 per share. 5. Wrote off $9,100 of uncollectible accounts using the allowance for bad debts. 6. Declared and paid a cash dividend, $26,000. 7. Sold marketable securities costing $33,800 for $40,300 in cash. 8. Recorded insurance expense for the year, $15,600. The premium for the policy was paid in June 2022. 9. Borrowed cash on a short-term bank loan, $13,000. 10. Repaid principal of $52,000 and interest of $3,900 on a long-term bank loan. Summarized here are the transactions/events that took place during the fiscal year ended September 30,2023 . Prepare journal entries for the below transactions. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. 1. Credit sales for the year amounted to $312,000. The cost of goods sold was $202,800. 2. Collected accounts receivable, $327,600. 3. Purchased inventory on account, $218,400. 4. Issued 650 shares of common stock for $23 per share. 5. Wrote off $9,100 of uncollectible accounts using the allowance for bad debts. 6. Declared and paid a cash dividend, $26,000. 7. Sold marketable securities costing $33,800 for $40,300 in cash. 8. Recorded insurance expense for the year, $15,600. The premlum for the policy was paid in June 2022. 9. Borrowed cash on a short-term bank loan, $13,000. 10. Repaid principal of $52,000 and interest of $3,900 on a long-term bank loan. for no effect. \begin{tabular}{|c|c|c|c|} \hline Transaction/Event & \begin{tabular}{l} Working \\ Capital \end{tabular} & \begin{tabular}{l} Current \\ Ratio \end{tabular} & \begin{tabular}{l} Acid-Test \\ Ratio \end{tabular} \\ \hline 0. Example: Paid accounts payable, $585,000. & NE & + & + \\ \hline \multicolumn{4}{|l|}{ 1. Credit sales for the year amounted to $312,000. The cost of goods sold was $202,800. } \\ \hline \multicolumn{4}{|l|}{ 2. Collected accounts receivable, $327,600. } \\ \hline \multicolumn{4}{|l|}{ 3. Purchased inventory on account, $218,400. } \\ \hline \multicolumn{4}{|l|}{ 4. Issued 650 shares of common stock for $23 per share. } \\ \hline \multicolumn{4}{|l|}{ 5. Wrote off $9,100 of uncollectble accounts using the allowance for bad debts. } \\ \hline \multicolumn{4}{|l|}{ 6. Declared and paid a cash dividend, $26,000. } \\ \hline \multicolumn{4}{|c|}{ 7. Sold marketable securities costing $33,800 for $40,300 in cash. } \\ \hline \multicolumn{4}{|c|}{ 8. Recorded insurance expense for the year, $15,600. The premium for the policy was paid in June 2022 . } \\ \hline \multicolumn{4}{|l|}{ 9. Borrowed cash on a short-term bank loan, $13,000. } \\ \hline 10. Repaid principal of $52,000 and interest of $3,900 on a long-term bank loan. & & & \\ \hline \end{tabular} Required B1 Required ah
