Current Yr 1 Yr Ago 2 Yrs Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 34,774 100,786 127,973 11,088 308,933 $ 583,554 $ 40, 245 $ 41,503 69,020 52,624 93,067 57,195 10,353 4,476 290,379 255,202 $ 503,064 $ 411,000 $ 149,664 $ 86,718 $ 53,167 107,514 162,500 163,876 $ 583,554 115,705 90,831 162,500 162,500 138,141 104,502 $ 503,064 $ 411,000 (1-a) Compute the current ratio for each of the three years. (1-6) Did the current ratio improve or worsen over the three year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three year period? Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B Compute the current ratio for each of the three years. Current Ratio 1 Choose Denominator: II Current Ratio Choose Numerator: Current assets Current Yr: 11 1 Yr Ago: Current ratio to 0 1 to 0 1 to 0 1 2 Yrs Ago: II Current Yr 1 Yr Ago 2 Yrs Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 34,774 100,786 127,973 11,088 308,933 $ 583,554 $ 40,245 $ 41,503 69,020 52,624 93,067 57,195 4,476 290,379 255,202 $ 503,064 $ 411,000 10,353 $ 149,664 $ 86,718 $ 53,167 107,514 162,500 163,876 $ 583,554 115,705 162,500 138,141 $ 503,064 90,831 162,500 104,502 411,000 (1-a) Compute the current ratio for each of the three years. (1-b) Did the current ratio improve or worsen over the three year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three year period? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B Compute the acid-test ratio for each of the three years. Acid-test ratio Choose Numerator: 1 Choose Denominator: + + / Current Yr: 1 Yr Ago: 2 Yrs Ago: = Acid-Test Ratio Acid-test ratio 0 to 1 0 to 1 0 to 1 + +