Required Information [The following information applies to the questions displayed below.) Jaguar Plastics Company has been operating for three years. At December 31 of last year, the accounting records reflected the following: Cash Investments (short-term) Accounts receivable Inventory $ 20,000 Accounts payable $14,000 Notes receivable (long-term) Equipment 2,500 Accrued liabilities payable 3,200 Notes payable (current) 30,000 Notes payable (noncurrent). 1,700 Common stock 3,100 5,800 47,000 10,400 Factory building Intangibles 44,000 Additional paid-in capital 106,000 Retained earnings 93,600 38,500 5,000 During the current year, the company had the following summarized activities: a. Purchased short-term investments for $8,000 cash. b. Lent $5,400 to a supplier who signed a two-year note. c. Purchased equipment that cost $21,000; paid $5,600 cash and signed a one-year note for the balance. d. Hired a new president at the end of the year. The contract was for $77,000 per year plus options to purchase company stock at a set price based on company performance. The new president begins her position on January 1 of next year. e. Issued an additional 2,200 shares of $0.50 par value common stock for $14,000 cash. f. Borrowed $20,000 cash from a local bank, payable in three months. g. Purchased a patent (an intangible asset) for $2,600 cash. h. Built an addition to the factory for $29,000; paid $8,700 in cash and signed a three-year note for the balance. 1. Returned defective equipment to the manufacturer, receiving a cash refund of $1,300. 6. Compute the current ratio for the current year. (Round your answer to 2 decimal places.) 9 < Prev 12 of 13 Next>