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The balance sheet for Shaver Corporation reported the following cash, $5.000; short term investments, $10.000: not accounts receivable. $35.000 inventories. $40,000 prepaids, $10.000, equipment, $100.000,
The balance sheet for Shaver Corporation reported the following cash, $5.000; short term investments, $10.000: not accounts receivable. $35.000 inventories. $40,000 prepaids, $10.000, equipment, $100.000, current liabilities, $40,000: notes payable on term) $70.000, total stockholders' equity $90,000, net income $3.320, interest expense. $4.400: Income before income taxes $5,280 1 Done 1. Compute Shavers debt to assets ratio and times interest earned ratio. (Round your answers to 2 decimal places.) Ratio Doblo Assots Times Interest Emned Ratio 2.0. Based on these ratios, does it appear Shaver relles mainly on debt or equity to finance its assets? Debt
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