Question 7 LO26 (12 marks) You are the accountant at Indigo. Refer to the image on the right for Indigo's Consolidated Balance Sheet as at March 29, 2014. Your manager has assigned you to calculate the current ratio, quick ratio, and debt to equity ratios for 2013 and 2014. Round your answer to two decimal places. Current Ratio Quick Ratio Debt to equity ratio 2014 Consolidated Balance Sheets As at March 30, 2013 2012 March 29, 2014 (notes 4 and 22) restated (notes 4 and 22) (thousands of Canadian dollar) ASSETS Current Cash and cash equivalents (note 6) 157,578 Accounts receivable 5,582 210,562 7,126 2013 Inventories (note 7) 218,979 216,533 206,718 12,810 229,199 Prepaid expenses 5,184 4,153 3,692 Total current assets 387,323 438,374 452,419 Property, plant and equipment (note 8) 58,476 58,903 66,928 Intangible assets (note 9) 21,587 22,164 22,810 Equity investment (note 20) 598 968 Deferred tax assets (note 100 44,604 48,731 961 48,633 Total assets 512,588 569,140 591,751 LIABILITIES AND EQUITY Current Accounts payable and accrued liabilities (note 190 136,428 150,177 173,416 Unredeemed gift card liability (note 19) 46,827 47,169 42,711 Provisions (note 11) 928 2,168 232 Deferred revenue 12,860 13,733 11,234 Income taxes payable 11 65 Current portion of long-term debt (notes 12 and 18) 584 773 1,060 Total current liabilities 197,627 214,031 228,718 Long-term accrued liabilities (note 19) 2,896 4,004 5,800 Long-term provisions (note 11) 164 78 460 Long-term debt (notes 12 and 18) 227 705 1,141 Total liabilities Equity 200,914 218,818 236,119 Share capital (note 13) 203,812 203,805 203,373 Contributed surplus (note 14) 8,820 8,128 7,039 Retained earnings 99,042 138,389 145,220 Total equity 311,674 350,322 355,632 Total liabilities and equity 512,588 569,140 591,751 See accompanying notes On behalf of the Board: Cluster Reisman Heather Reisman Director syylling Michael Kirby Director