Question 37 (1.5 points) The balance sheet and income statement shown below are for Koski Inc. Note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over. Balance Sheet (Millions of S) Assets 2010 Cash and securities $ 2,500 Accounts receivable 11,500 16,000 Inventories $30,000 Total current assets $20,000 Net plant and equipment $20,000 Net plant and equipment $50.000 Total assets Liabilities and Equity 6. $ 9,500 Accounts payable Notes payable 7,000 9. 5.500 Accruals $22,000 Total current liabilities 12 $15.000 Long-term bonds $37,000 Total debt 15 $ 2,000 Common stock .7 18 11.000 Retained earnings 513.000 Total common equity 21 S50.000 Total liabilities and equity Income Statement (Millions of $) 2010 Net sales $87, 500 Operating costs except depreciation 81,813 Depreciation 1,531 Earnings bef interest and taxes (EBIT) $ 4,156 Less interest 1,375 12 Earnings before taxes (EBT) $ 2,781 Taxes 973 15 Net income $ 1,808 18 Qther data: Shares outstanding (millions) 500.00 21 Common dividends $632.73 Int rate on notes payable & L-T bonds 6.25% Int rate on notes payable & L-T bonds 6.254 Federal plus state income tax rate 354 Year-end stock price $43.39 What is the firm's current ratio? O1.36 0.99 1.23 1.10 1.50