Current Ratio, Quick Ratio, and Times-Interest-Eamed atio The following data is from the current accounting records of Florence Company. The presdent of the company is concerned that the compeny is in volation of a debt covenant that requires the company to maintain a minimum current ratio of 2.0 . He believes the bess way to rectily this is to reverse a bad debt wrte-off in the amount of 515 thit the company just recorded He arguer that the write-off was dane too early and that the collections department shoule be given more time to collect the eutstanding recewables, the CFO argues that this will have no effect on the current rabo, so a betteridea is to use sis of cash to pay acceunts pryable early florence company uses the alowance mechod to account for bad debts. a. Calculate the current ratio under the followine scenatios. Aound answers to two decimal paces b. Will eatier the quick ratio or the times interes-earned ratios be alfected by at least one of theie adean