Freiman Corporation's most recent balance sheet and income statement appear below: Balance Sheet December 31, Year 2 and Year 1 (in thousands of dollars) Year 2 Year 1 Assets Current assets: $ 174 $ 134 Cash Accounts receivable, net 255 275 Inventory 134 144 Prepaid expenses 47 47 Total current assets 600 610 Plant and equipment, net 770 770 $1,380 $1,370 Total assets Liabilities and Stockholders' Equity Current liabilities: 144 164 Accounts payable Accrued liabilities 97 97 Notes payable, short term 67 77 Total current liabilities 308 338 Bonds payable 301 311 Total liabilities 609 649 Stockholders' equity: Common stock, $2 par value Additional paid-in capital Retained earnings 114 114 235 235 422 372 Total stockholders' equity 771 721 Total liabilities & stockholders' equity $1,380 $1,370 Income Statement For the Year Ended December 31, Year 2 (in thousands of dollars) Sales (all on account) Cost of goods sold Gross margin Selling and administrative expenses $1,590 920 670 394 276 Net operating income Interest expense 49 Net income before taxes 227 Income taxes (30%) 68 $ 159 Net income The current ratio at the end of Year 2 is closest to: Multiple Choice 0.52 1,98 0.51 1.11