Lloyd Inc. has sales of $200,000, a net income of $16,000, and the following balance sheet: Cash $31,920 Accounts payable $37,240 Receivables 49,780 Notes payable to bank 16,340 Inventories 228,000 Total current liabilities $53,580 Total current assets $309,700 Long-term debt 46,740 Net fixed assets Total assets 70,300 $380,000 Common equity 279,680 Total liabilities and equity $380,000 The new owner thinks that inventories are excessive and can be lowered to the point where the current ratio is equal to the industry average, 2.25x, without affecting sales or net income. If inventories are sold and not replaced (thus reducing the current ratio to 2.25x); if the funds generated are used to reduce common equity (stock can be repurchased at book value); and if no other changes occur, by how much will the ROE change? Do not round intermediate calculations. Round your answer to two decimal places. 5.72 % What will be the firm's new quick ratio? Do not round intermediate calculations. Round your answer to two decimal places.