Question 2. (20 marks) YOUNGS CONSULTING Balance sheet as at 31 December 2019 Current liabilities $14 275 Accounts payable 2 285 Salary payable 450 Unearned service revenue 17 010 Total current liabilities Current assets Cash Accounts receivable Prepayments $5 355 1 285 880 Total current assets 7520 Non-current assets Equipment $5 535 Acc. Depr. 1 855) 3 680 Furniture Acc. Depr. $3585 135) Owners' Equity 100 Ordinary Shares 3 450 16 620 $33 880 YOUNGS CONSULTING Income Statement For the month ended 31 December 2019 Revenue Service revenue Expenses Rent expense $5 500 Electricity and gas expense 2 650 Salary expense 7 500 Depreciation expense- 1 855 equipment Depreciation expense-furniture Office Supplies expense 3 855 Net Profit 135 21 495 $12 385 Requirements: Assuming the information above (excluding transactions in requirements 1 - 3) and knowing that the current market price of each of Young's 100 shares is $200 per share, calculate the following ratios for the company: a. current ratio (2 marks) b. debt ratio (2 marks) C. debt to equity ratio (2 marks) d. earnings per share (2 marks) e. price/earnings ratio (2 marks) f. rate of return on total assets (2 marks) g. rate of return on ordinary shareholders' equity