Rivera Sports Company reported the following in recent balance sheets $($amounts in millions$).$

$($in millions$)$ June $30,2019$ December $31,2018$

Assets

Current Assets

Cash $ $276$ $ $400$

Accounts Receivable $631402$

Inventory $767522$

Prepaid Rent $4237$

Total Current Assets $1,7161,361$

Software $197152$

Equipment $670500$

Total Assets $ $2,583$ $ $2,013$

Liabilities and Shareholders'$$ Equity

Liabilities

Current Liabilities

Accounts Payable $ $409$ $ $415$

Notes Payable $($short$-$term$)02$

Income Tax Payable $395$

Total Current Liabilities $448422$

Notes Payable $($long$-$term$)9273$

Total Liabilities $540495$

Stockholders$$ Equity

Common Stock $8635$

Retained Earnings $1,9571,483$

Total Shareholders$$ Equity $2,0431,518$

Total Liabilities and Shareholders$$ Equity $ $2,583$ $ $2,013$

Required:

$1.$ Calculate the current ratio at June $30,2019,$ and December $31,2018.$

$2-$a$.$ Did the company$$s current ratio increase or decrease?

$2-$b$.$ What does this imply about the company$$s ability to pay its current liabilities as they come due?

$3-$a$.$ What would Rivera Sports current ratio have been on June $30,2019,$ if the company were to have paid down $$10($million$)$ of its Accounts Payable?

$3-$b$.$ Does paying down Accounts Payable in this case increase or decrease the current ratio?

$4.$ Are the company$$s total assets financed primarily by liabilities or stockholders$$ equity at June $30,2019?$