Requirement 1a. Compute the current ratios for 2018 and 2017 Begin by selecting the formula to compute the current ratio Current ratio 1. Compute the following ratios for 2018 and 2017: a. Current ratio b. Cash ratio Times-interest-earned ratio C. d. Inventory turnover Gross profit percentage f. Debt to equity ratio g. Rate of return on common stockholders' equity h. Earnings per share of common stock i. Price/earnings ratio Decide (a) whether Dangerfield's ability to pay debts and to sell inventory improved or deteriorated during 2018 and (b) whether the investment attractiveness of its common stock appears to have increased or decreased. e. 2. Print Done 2016 2017 2018 Assets Current Assets: Cash $ 91,000 $ 90,000 Accounts Receivables,Net 114,000 $ 107,000 108,000 Merchandise Inventory 166,000 203,000 150,000 19,000 8,000 Prepaid Expenses Total Current Assets 368,000 378,000 179,000 212,000 Property, Plant, and Equipment, Net 557,000 $596,000 $ 580,000 $ Total Assets Liabilities 227,000 $ Total Current Liabilities 247,000 116,000 94,000 Long-term Liabilities 341,000 Total Liabilities 343,000 Stockholders' Equity LE Stockholders' Equity Preferred Stock, 6% 102,000 102,000 135,000 114,000 Common Stockholders' Equity, no par 94,000 580,000 $ 557,000 Total Liabilities and Stockholders' Equity Selected 2016 amounts