The balance sheets for Monitor World Corporation and additional information are provided below.

MONITOR WORLD CORPORATION
Balance Sheets
December 31, 2024 and 2023
	2024	2023
Assets
Current assets:
Cash	$176,400	$125,000
Accounts receivable	88,000	97,000
Inventory	100,000	85,000
Investments	4,500	2,500
Long-term assets:
Land	530,000	530,000
Equipment	840,000	720,000
Less: Accumulated depreciation	(478,000)	(318,000)
Total assets	$1,260,900	$1,241,500
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$104,000	$90,000
Interest payable	6,500	12,500
Income tax payable	8,500	5,500
Long-term liabilities:
Notes payable	120,000	240,000
Stockholders' equity:
Common stock	750,000	750,000
Retained earnings	271,900	143,500
Total liabilities and stockholders' equity	$1,260,900	$1,241,500

Additional information for 2024:

1. Net income is $128,400.
2. Sales on account are $1,702,000.
3. Cost of goods sold is $1,276,500.

Required: 1. Calculate the following risk ratios for 2024: 2. When we compare two companies, can one have a higher current ratio while the other has a higher acid-test ratio?

Exercise 12-7 (Algo) Calculate risk ratios (L012-3) The balance sheets for Monitor World Corporation and additional information are provided below. Additional information for 2024 : 1. Net income is $128,400. 2. Sales on account are $1,702,000. 3. Cost of goods sold is $1,276,500. Required: 1. Calculate the following risk ratios for 2024 : 2. When we compare two companies, can one have a higher current ratio while the other has a higher acid-test ratio? Complete this question by entering your answers in the tabs below. Calculate the following risk ratios for 2024: (Round your answers to 1 decimal place.) Required 1 Required 2 When we compare two companies, can one have a higher current ratio while the other has a higher acid-test ratio? When we compare two companies, can one have a higher current ratio while the other has a higher acid-test ratio