LOGIC COMPANY Comparative Income Statement For Years Ended December 31, 2016 and 2017
	2017		2016
Gross sales	$	22,400	$	17,550
Sales returns and allowances		800		100
Net sales	$	21,600	$	17,450
Cost of merchandise (goods) sold		11,150		7,900
Gross profit	$	10,450	$	9,550
Operating expenses:
Depreciation	$	1,040	$	770
Selling and administrative		4,750		3,700
Research		890		670
Miscellaneous		700		470
Total operating expenses	$	7,380	$	5,610
Income before interest and taxes	$	3,070	$	3,940
Interest expense		900		670
Income before taxes	$	2,170	$	3,270
Provision for taxes		868		1,308
Net income	$	1,302	$	1,962

LOGIC COMPANY Comparative Balance Sheet December 31, 2016 and 2017
	2017		2016
Assets
Current assets:
Cash	$	11,800	$	8,800
Accounts receivable		16,300		12,300
Merchandise inventory		8,300		13,800
Prepaid expenses		23,800		9,800
Total current assets	$	60,200	$	44,700
Plant and equipment:
Building (net)	$	14,300	$	10,900
Land		13,300		8,800
Total plant and equipment	$	27,600	$	19,700
Total assets	$	87,800	$	64,400
Liabilities
Current liabilities:
Accounts payable	$	12,800	$	6,800
Salaries payable		6,800		4,800
Total current liabilities	$	19,600	$	11,600
Long-term liabilities:
Mortgage note payable		21,800		20,300
Total liabilities	$	41,400	$	31,900
Stockholders Equity
Common stock	$	20,800	$	20,800
Retained earnings		25,600		11,700
Total stockholders equity	$	46,400	$	32,500
Total liabilities and stockholders equity	$	87,800	$	64,400

Calculate the acid test ratio. (Round your answers to the nearest hundredth.)

	2017	2016
Acid test ratio