ces The balance sheet for Shaver Corporation reported the following: cash, $11,500; short-term investments, $16,500; net accounts receivable, $48,000; inventory, $53,000; prepaids, $16,500; equipment, $102,000; current liabilities, $53,000; notes payable (long- term), $83,000; total stockholders' equity, $111,500; net income, $4,620; interest expense, $7,000; income before income taxes, $9,180. Required: 1. Compute Shaver's debt-to-assets ratio and times interest earned ratio. 2-a. Based on these ratios, does it appear Shaver relies mainly on debt or equity to finance its assets? 2-b. Is it probable that Shaver will be able to meet its future interest obligations? Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Compute Shaver's debt-to-assets ratio and times interest earned ratio. (Round your answers to 2 decimal places.) Debt-to-Assets Times Interest Earned Ratio Ratio 3 Req 1 Req 2A >

The balance sheet for Shaver Corporation reported the following: cash, $11,500; short-term investments, $16,500; net accounts receivable, $48,000; inventory, $3,000; prepaids, $16,500; equipment, $102,000; current liabilities, $53,000; notes payable (longterm), $83,000; total stockhoiders' equity, $111,500; net income, $4,620; interest expense, $7,000; income before income taxes, $9,180 Required: 1. Compute Shaver's debt-to-assets ratio and times interest earned ratio. 2-a. Based on these ratios, does it appear Shaver relies mainly on debt or equity to finance its assets? 2-b. Is it probable that Shaver will be able to meet its future interest obligations? Complete this question by entering your answers in the tabs below. Compute Shaver's debt-to-assets ratio and times interest earned ratio. (Round vour answers to 2 decimal places.)