Clayton Industries has the following account balances: Current assets Noncurrent assets $ 27,000 Current liabilities. 73,000 Noncurrent liabilities 'Stockholders' equity The company wishes to raise $39,000 in cash and is considering two financing options: Clayton can sell $39,000 of bonds payable, or it can issue additional common stock for $39,000. To help in the decision process, Clayton's management wants to determine the effects of each alternative on its current ratio and debt-to-assets ratio. Required a-1. Compute the current ratio for Clayton's management. Note: Round your answers to 2 decimal places. Currently If bonds are issued If stock is issued $ 11,000 45,000 44,000 Current Ratio to 1 to 1 to 1.

Clayton industries has the following account baiances: The company wishes to raise $39.000 in cash and is considering two financing options Clayton can sell $39.000 of bonds payable, of it can issue additional common stock for $39,000. To help in the decision process, Clayton's management wants to determine the effects of each alternative on its current ratio and debt-to-assets ratio: Required o-1. Compute the current ratio for Clayton's management. Note: Round your answers to 2 decimal places