Cumberland Sports, Inc. reported the following in recent balance sheets (amounts in millions). (in millions) Assets September December 30, 2016 31, 2015 Current Assets Cash Accounts Receivable Inventories Prepaid Rent Total Current Assets Software Equipment Total Assets Liabilities and Shareholders' Equity Liabilities Current Liabilities Accounts Payable Income Taxes Payable Notes Payable (short-term) Total Current Liabilities Notes Payable (long-term) Total Liabilities Stockholders' Equity Common Stock $ 433 $ 490 1,072 492 1,305 639 72 46 2,882 1,667 414 188 1,411 617 $4,707 $2,472 $ 747 $ 598 0 2 71 5 818 605 167 105 985 710 156 52 Retained Earnings 3,566 1,710 Total Shareholders' Equity 3,722 1,762 Total Liabilities and Shareholders' Equity $4,707 $2,472 Required: 1. Calculate the current ratio at September 30, 2016 and December 31, 2015. 2-a. Did the company's current ratio increase or decrease? 2-b. What does this imply about the company's ability to pay its current liabilities as they come due? 3-a. What would Cumberland's current ratio have been on September 30, 2016, if the company were to have paid down $10 of its Accounts Payable? 3-b. Does paying down Accounts Payable in this case increase or decrease the current ratio? 4. Are the company's total assets financed primarily by liabilities or stockholders' equity at September 30, 2016? Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Req 3A Req 3B Req 4 Calculate the current ratio at September 30, 2016 and December 31, 2015. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) Numerator Denominator Current Ratio September 30, 2016 December 31, 2015