On January 1, 2021, the general ledger of ACME Fireworks includes the following account balances: Credit Debit $ 26,800 49,600 $ 5,900 Accounts Cash Accounts Receivable Allowance for Uncollectible Accounts Inventory Land Equipment Accumulated Depreciation Accounts Payable Notes Payable (6%, due April 1, 2022) Common Stock Retained Earnings Totals 21,700 63,000 23,500 3,200 30, 200 67,000 52,000 26,300 $184,600 $184,600 During January 2021, the following transactions occur: January 2 Sold gift cards totaling $11,400. The cards are redeemable for merchandise within one year of the purchase date. January 6 Purchase additional inventory on account, $164,000. January 15 Firework sales for the first half of the month total $152,000. All of these sales are on account. The cost of the units sold is $82,300. January 23 Receive $127,100 from customers on accounts receivable. January 25 Pay $107,000 to inventory suppliers on accounts payable. January 28 Write off accounts receivable as uncollectible, $6,500. January 30 Firework sales for the second half of the month total $160,000. Sales include $11,000 for cash and $149,000 on account. The cost of the units sold is $88,000. January 31 Pay cash for monthly salaries, $53,700. 1. Alldlyze lile UNIOWITY TOI ACIE Requirement 1: a-1. Calculate the current ratio at the end of January. Current Ratio Choose Numerator Choose Denominator = Current Ratio Current Assets - Current Liabilities Current Ratio 0 a-2. If the average current ratio for the industry is 1.80, is ACME Fireworks more or less liquid than the industry average a-2. If the average current ratio for the industry is 1.80, is ACME Fireworks more or less liquid than the industry average? O More liquid O Less liquid Requirement 2: b-1. Calculate the acid-test ratio at the end of January Acid-test Ratio Choose Numerator - Choose Denominator = Acid-test Ratio Current Assets Current Liabilities = Acid-test Ratio b-2. If the average acid-test ratio for the industry is 1.50, is ACME Fireworks more or less likely to have difficulty paying its currently maturing debts (compared to the industry average)? O More likely O Less likely Requirement 3: c-1. Assume the notes payable were due on April 1, 2021, rather than April 1, 2022. Calculate the revised current ratio at the end of January Current Ratio Choose Numerator - Choose Denominator Current Ratio Current Assets - Current Liabilities Current Ratio times