Current ratio and working capital

The balance sheet of Red Missile Company contained the following items, among others:

Cash$180,000

Accounts Receivable$84,000

Inventory$124,000

Store Equipment (net)$236,000

Other Assets$67,500

Mortgage Payable (due in 3 years)$169,000

Note Payable (due in 10 days)$163,000

Accounts Payable$96,000

Capital Stock$67,500

Retained Earnings$197,000

a) From the above information compute:

(1) Current assets: $________

(2) Current liabilities: $________

(3) The current ratio: ________ to 1

(4) Working capital: $________

(b) Assume that Red Missile Company pays the note payable of $163,000, thus reducing cash to $17,000. Compute the following after the completion of this transaction:

(1) The current ratio: ________ to 1

(2) Working capital: $________