s-80 Minutes This question: 16 point(s) possible Large Land Photo Shop has asked you to determine whether the company's ability to pay current liabilities and total liabilities improved or deteriorated during 2024 To answer this question you gather the following data (Click the icon to view the data.) Read the requirements Data table Debt ratio =Total liabilities + Total assets Cash Now, compute the debt ratios for 2024 and 2023 (Round your answer to one tenth of a percent, XX, and do not enter the %. For example, enter 10. Short-term Investments Debt ratio% 2024 2023 % % e. Compute the debt to equity ratios for 2024 and 2023. Begin by selecting the formula to compute the debt to equity ratio. Debt to equity =Total liabilities - Total equity Now, compute the debt to equity ratios for 2024 and 2023. (Round your answers to two decimal places, XXX.) Debt to equity ratio 2024 S Net Accounts Receivables Merchandise Inventory Total Assets 2023 60,000 $ 51,000 26,000 122,000 134,000 0 267,000 282,000 580,000 570,000 Total Current Liabilities Long-term Notes Payable Income from Operations Interest Expense 315,000 222,000 44,000 52,000 150,000 178.000 40.000 44,000 Print Done - X 2024 2023 Evaluate the company's ability to pay its current liabilities and total liabilities. (Assume the following industry averages for 2024; current ratio: 0.60, cash ratio, 0.40, acid-test ratio: 0 46, debt ratio: 69%, debt to equity ratio 2.23) The current ratio and acid-test ratio are relatively high, so the company appears to have the liquidity to pay its liabilities. The debt to equity ratio and the debt ratio are at average levels so the company is with debt overloaded 5:1 3/24 Time Remaining: 01.10.35 Submit quiz utes 10 of 10 This question: 16 point(s) possible Large Land Photo Shop has asked you to determine whether the company's ability to pay current liabilities and total liabilities improved or deteriorated during 2024. To answer this question, you gather the fo (Click the icon to view the data) Read the requirements. Data table Begin by selecting the formula to compute the cash ratio Cash ratio =(Cash Cash equivalents) Total current liabilities 2024 Cash $ 60,000 Short-term Investments 26,000 Now, compute the cash ratios for 2024 and 2023. (Round your answers to two decimal places, XXX) Net Accounts Receivables 122,000 Cash ratio Merchandise Inventory 267,000 Total Assets 570,000 Total Current Liabilities 315,000 Long-term Notes Payable 44,000 Income from Operations 150,000 40.000 =(Cash Short-term investments +Net current receivables) Total current liabilities X 2024 2023 c. Compute the acid-test ratios for 2024 and 2023. Begin by selecting the formula to compute the acid-test ratio. Acid-test ratio Now, compute the acid-test ratios for 2024 and 2023. (Round your answers to two decimal places, XXX) 2024 2023 Acide-test ratio d. Compute the debt ratio for 2024 and 2023 Begin by selecting the formula to compute the debt ratio. Tatal anna Requirements Compute the following ratios for 2024 and 2023, and evaluate the company's ability to pay its current liabilities and total liabilities: a. Current ratio b. Cash ratio c. Acid-test ratio d. Debt ratio e. Debt to equity ratio Done Calculator Print Done me Remaining: 01.09.49 S Large Land Photo Shop has asked you to determine whether the company's ability to pay current liabilities and total liabilities improved or deteriorated during 2024. To answer this question, you gather the following data (Click the icon to view the data) Read the requirements Data table X a. Compute the current ratios for 2024 and 2023. Begin by selecting the formula to compute the current ratio. Current ratio =Total current assets + Total current liabilities Now, compute the current ratios for 2024 and 2023. (Round your answers to two decimal places, XXX.) Current ratio 2024 2023 b. Compute the cash ratios for 2024 and 2023. Begin by selecting the formula to compute the cash ratio Cash ratio + =(Cash Cash equivalents) + Total current liabilities Now, compute the cash ratios for 2024 and 2023. (Round your answers to two decimal places, XXX) Cash 2024 2023 $ Short-term Investments Net Accounts Receivables Merchandise Inventory 60,000 $ 51,000 26,000 122,000 134,000 0 267,000 282,000 570,000 580,000 315,000 222,000 44,000 52,000 150.000 178,000 40,000 44,000 Total Assets Total Current Liabilities Long-term Notes Payable Income from Operations Interest Expense Print Done C Cash ratio 2024 2023 c. Compute the acid-test ratios for 2024 and 2023. 83 40 5:15 PM 2013022