Exercise 3-16 (Static) Calculating ratios [LO3-8]

The 2021 balance sheet for Hallbrook Industries, Inc., is shown below.

HALLBROOK INDUSTRIES, INC.
Balance Sheet
December 31, 2021
($ in thousands)
Assets
Cash	$	200
Short-term investments		150
Accounts receivable		200
Inventory		350
Property, plant, and equipment (net)		1,000
Total assets	$	1,900
Liabilities and Shareholders Equity
Current liabilities	$	400
Long-term liabilities		350
Paid-in capital		750
Retained earnings		400
Total liabilities and shareholders equity	$	1,900

The companys 2021 income statement reported the following amounts ($ in thousands):

Net sales	$	4,600
Interest expense		40
Income tax expense		100
Net income		160

Required: 1. Calculate the current ratio. (Round your answer to 2 decimal places.) 2. Calculate the acid-test ratio. (Round your answer to 3 decimal places.) 3. Calculate the debt to equity ratio. (Round your answer to 2 decimal places.) 4. Calculate the times interest earned ratio. (Round your answer to 1 decimal place.)