Question The following is a December 31, 2006, post closing trial balance for Culver City Lighting, Inc. Prepare a classified balance sheet for the company. Account Title Debits Credits Cash 55,000 Accounts receivable 39,000 Inventories 45,000 Prepaid insurance 15,000 Equipment 100,000 Accumulated depreciationequipment 34,000 Patent, net 40,000 Accounts payable 12,000 Interest payable 2,000 Note payable (due in 10, equal annual installments) 100,000 Common stock 70,000 Retained earnings 76,000 Totals 294,000 294,000 Expert Answer Anonymous Anonymous answered this 18 minutes later Was this answer helpful? 0 0 511 answers Solution: Culver City Lighting, Inc Balance Sheet for year ended December 31, 2006 $ Current Assets Cash and Cash Equivalents 55,000 Inventories 45,000 Accounts receivable 39,000 Other Current Assets Prepaid insurance 15,000 Total Current Assets 154,000 Fixed Assets Equipment 100,000 Less: Accumulated depreciationequipment 34,000 66,000 Patents 40,000 Total Non Current Assets 106,000 Total assets 260,000 Liabilities and Equity Current Liabilities Accounts payable 12,000 Interest payable 2,000 Total Current Liabilities 14,000 Long term Liabilities Note payable 100,000 Total Long term Liabilities 100,000 Shareholder's Equity Common stock 70,000 Retained earnings 76,000 Total Equity 146,000 Total Liabilities and Equity 260,000 Using the trail balance given:Calculate the (a) current ratio, (b) acid-test ratio, and (c) debt to equity ratio