MEGAFRAME COMPUTER COMPANY Balance Sheet As of December 31 ASSETS Cash Accounts receivable Inventory Net plant and equipment Total assets LIABILITIES AND STOCKHOLDERS' EQUITY Accounts payable Accrued expenses Long-term debt Paid-in capital Retained earnings Total liabilities and stockholders' equity \begin{tabular}{lr} $ & 50,000 \\ & 70,000 \\ & 110,000 \\ & 220,000 \\ \hline$ & 450,000 \end{tabular} Sales (all on credit) Cost of goods sold Gross profit Sales and administrative expenses Depreciation Operating profit Interest expense Profit before taxes Taxes (30%) Net income Refer to the tables above. Megaframe's current ratio is 3.0:1 1.9:1 1.8:1 1:1