Denna Company's working capital accounts at the beginning of the year follow: Cash Marketable securities Accounts receivable, net Inventory Prepaid expenses Accounts payable $ 84,000 $ 25,300 $ 383,600 $ 496,400 $ 17,800 $ 225,200 Notes due within one year $ 128,000 $ 72,600 Accrued liabilities During the year, Denna Company completed the following transactions: a. Issued shares of common stock for cash, $228,000. b. Sold inventory costing $81,200 for $114,000, on account. c. Wrote off uncollectible accounts in the amount of $15,600, reducing the accounts receivable balance accordingly. d. Paid a cash dividend, $44,000. e. Paid accounts payable, $122,400. f. Borrowed cash on a short-term note with the bank, $81,000. g. Sold inventory costing $19,200 for $12,800 cash. h. Purchased inventory on account, $60,500. i. Paid off all short-term notes due, $209,000. j. Purchased equipment for cash, $86,200. k. Sold marketable securities costing $15,300 for cash, $12,750. I. Collected cash on accounts receivable, $95,400. Required: 1. Compute the following amounts and ratios as of the beginning of the year: a. Working capital. b. Current ratio. c. Acid-test ratio. 2. Indicate whether each of the above transactions will increase, decrease, or have no effect on working capital, the current ratio, and the acid-test ratio. Consider each transaction independently and indicate their effects as compared to the ratios and amounts at the beginning of the period. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the following amounts and ratios as of the beginning of the year: Note: Round your ratios to 2 decimal places. a. Working capital b. Current ratio c. Acid-test ratio 2. Indicate whether each of the above transactions will increase, decrease, or have no effect on working capital, the current ratio, and the acid-test ratio. Consider each transaction independently and indicate their effects as compared to the ratios and amounts at the beginning of the period. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Indicate whether each of the above transactions will increase, decrease, or have no effect on working capital, the current ratio, and the acid-test ratio. Consider each transaction independently and indicate their effects as compared to the ratios and amounts at the beginning of the period. Transaction a. Issued additional shares of common stock for cash b. Sold inventory at a gain c. Wrote off uncollectible accounts d. Declared a cash dividend e. Paid accounts payable f. Borrowed on a short-term note g. Sold inventory at a loss h. Purchased inventory on account i. Paid short-term notes j. Purchased equipment for cash k. Sold marketable securities at a loss I. Collected accounts receivable Working Capital The Effect on Current Ratio Acid-Test Ratio < Required 1 Required 2 >