Required Information [The following information applies to the questions displayed below.] The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company. Nelson Company uses a perpetual inventory system. It categorizes the following accounts as selling expenses: Depreciation Expense-Store Equipment, Sales Salaries Expense, Rent Expense-Selling Space. Store Supplies Expense, and Advertising Expense. It categorizes the remaining expenses as general and administrative. NELSON COMPANY Unadjusted Trial Balance January 31 Debit Credit Cash $ 27,150 Merchandise inventory 12,500 Store supplies 5,600 Prepaid insurance Store equipment 2,400 42,600 Accumulated depreciation-Store equipment $ 19,400 Accounts payable 12,000 Common stock 4,000 Retained earnings 34,000 Dividends 2,250 Sales 115,750 Sales discounts 2,000 Sales returns and allowances 2,250 Cost of goods sold 38,000 Depreciation expense-Store equipment e Sales salaries expense 13,950 Office salaries expense 13,950 Insurance expense Rent expense-Selling space 6,500 Rent expense-Office space 6,500 Store supplies expense Advertising expense Totals 9,500 5 185,150 $ 185,150 Additional Information: a. Store supplies still available at fiscal year-end amount to $2,850. b. Expired insurance, an administrative expense, is $1,700 for the fiscal year c. Depreciation expense on store equipment, a selling expense, is $1,500 for the fiscal year. d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,300 of inventory is still available at fiscal year-end. 4. Compute the current ratio, acid-test ratio, and gross margin ratio as of January 31. (Round your answers to 2 decimal places.) Answer is complete but not entirely correct. Current ratio 1.25:1 Acid-test ratio 4.80 1 Gross margin ratio 83.87 1