Current ratio Consider the following financial statement information for Hi-Tech Instruments: For the Year Ended December 31 (Thousands of Dollars, except Earnings per Share) Sales revenue Cost of goods sold Net income Dividends Earnings per share $210,000 125,000 8,300 2,600 4.15 HI-TECH INSTRUMENTS, INC. Balance Sheets December 31 (Thousands of Dollars) Current Year Prior Year Assets Cash $18,300 $18,000 Accounts receivable (net) 46,000 1,000 Inventory 39,500 43,700 Total Current Assets 103,800 102,700 Plant assets (net) 52,600 50,500 Other assets 15,600 13,800 Total Assets Liabilities and Stockholders' Equity Notes payable-banks $172,000 $167,000 $6,000 $6,000 Accounts payable Accrued liabilities Total Current Liabilities 22,500 18,700 16,500 21,000 45,000 45,700 9% Bonds payable Total Liabilities Common stock 40,000 40,000 85,000 85,700 50,000 50,000 Retained earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity 37,000 31,300 87,000 81,300 $172,000 $167,000 *Common stock: $25 par value, 2,000,000 shares outstanding. COMMON STOCK Retained earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity 50,000 50,000 37,000 31,300 87,000 81,300 $172,000 $167,000 *Common stock: $25 par value, 2,000,000 shares outstanding. Industry Average Ratios for Competitors Quick ratio Current ratio 1.3 2.4 Accounts receivable turnover 5.9 times Inventory turnover 3.5 times Debt-to-equity ratio 0.73 Gross profit percentage 42.8 percent Profit margin 4.5 percent Return on assets 7.6 percent Calculate the company's current ratio for the current year. Round answer to two decimal places (ex: 0.97543 = 0.98). 1.22 Previous