The current ratio was .992 before the economic event. What is the current ratio after this event? The gross margin was 29.3\% before this economic event. What is the gross margin after this event? The profit margin was 6.6% before this economic event. What is the profit margin immediately after this event? economic event. What is the debt to equity ratio after this economic event? Main Content The Debt to Assets ratio was 76.2% before the What is the effective tax rate? This is computed as the Tax Expense/Earnings before Taxes. State your answer in ins rormat: XX.X\% it Economic Event (enter increase is as " + " and decrease as "-") 31 Dec-23 After Event Ratios Instructions: See Question 1 for an example of how to approach this problem. Economic Events 0.992 2 5,91113,9021,76021,5736,16432,38510,169(21,137)7,556(4,400)1,50153,811 15,478 6,098 71 1001,747 13,549 2,493 1,566 19,2371,629 ty ) % Assume BBR's a deferred tax liability of $1,166, results from future taxable amounts of $5,552 and an enacted federal rate of 21%. During December of 2023 , a new income tax act is signed into law that raises the tax rate to 25% for 2024 and future years and increases the liability by 222 . Record the change in the deferred tax liability, if any. Questions: Blank 1 - The current ratio was .992 before these two economic events. What is the current ratio after these events? Blank 2 - The gross margin was 29.3% before these economic events. What is the gross margin after these events? Blank 3 - The profit margin was 6.6% before these economic events. What is the profit margin immediately after these events? Blank 4 - The debt to assets ratio was 76.2 before these economic events. What is the debt to assets ratio after these economic event? Blank 5 - Has profitability increased, decreased, or stayed the same after this economic event? % The current ratio was .992 before the economic event. What is the current ratio after this event? rate? This is computed as the Tax Expense/Earnings before Taxes. State your answer in this format: XX.X\% margin was 6.6% before this economic event. What is the profit margin immediately after this event? ratio was 3.20 before the economic event. What is the debt to equity ratio after this economic event? What is the effective tax The profit The Debt to Equity nt Economic Event (enter increase After Event os as "+" and decrease as "-") 31-Dec-23 After Event Ratios Economic Events BBR recorded estimates for income taxes throughout the year. At the end of the year, BBR made adjustments to the financial statements for changes in current asset 2 0.992 accounts, depreciation expense, and accrued liabilities. Hence, its tax liability and expense also changed as a result of these adjustments. 6,164 32,385 10,169 (21,137) 7,556 (4,400) 53,8111,501 BBR's tax accountants now estimate the following amounts are appropriate for the year ending 2023. Additional Tax Liability: Currently Due and payable =$200 Deferred Tax Liability =$143 Questions: Blank 1 - The current ratio was .992 before these two economic events. What is the current ratio after these events? Blank 2 - What is the new effective tax rate? (The effective tax rate is computed by taking Tax Expense/Earnings before Taxes.) State your number in this format - XX.X\%. Blank 3 - The profit margin was 6.6% before these economic events. What is the profit margin immediately after these events? Blank 4 - The Debt to Equity ratio was 3.2 before these economic events. What is the debt to equity ratio after these economic event? ity 0 % % 39 6,421 6,920 (553) 12,827 Debt to Equity 3.20 Debt to Assets 76.2% Points to remember: All of the income statement closes to Retained Earnings. Consider the effect on Retained Earnings to your transactions. 6.6% The current ratio was .992 before the economic event. What is the current ratio after this event? 6.6% before this economic event. What is the profit margin immediately after this event? 3.2 before the economic event. What is the debt to equity ratio after this economic event? The profit margin was The Debt to Equity ratio was