The following information applies to the questions displayed below. On January 1, 2013, the general ledger of ACME Fireworks includes the following account balances: Debit Credit Cash 5 27000 50,000 $ 6,100 Allowance for Uncollectible Accounts Inventory Land 21,900 65,000 24,500 Accumulated Depreciation Accounts Payable Notes Payable (6%, due April 1, 2019) Common Stock Retained Earnings 3,400 30,400 69,000 54,000 25,500 Totals $188,400 $188,400 During January 2018, the following transactions occur January 2. Sold gift cards totaling $11,800. The cards are redeemable for merchandise within one year of the purchase date. January 6. Purchase additional inventory on account, $166,000. January 15. Firework sales for the first half of the month total $154,000. All of these sales are on account. The cost of the units sold is $83,300. January 23. Receive $127,300 from customers on accounts receivable. January 25. Pay $109,000 to inventory suppliers on accounts payable January 28. Write off accounts receivable as uncollectible, $6,700, January 30. Firework sales for the second half of the month total $162,000. Sales include $10,000 for cash and $152,000 on account. The cost of the units sold is $89,000. January 31. Pay cash for monthly salaries, $53,900. a-2. If the average current ratio for the industry is 1.80, is ACME Fireworks more or less liquid than the industry average? more liquid less liquid 7. Analyze the following for ACME Fireworks Requirement 1 a-1. Calculate the current ratio at the end of January. b-1. Calculate the acid-test ratio at the end of January. Current Ratio Acid-test Ratio Choose NumeratorChoose Current Ratio Choose NumeratorChoose Acid-test Ratio Current Ratio Acid-test Ratio b-2. If the average acld-test ratio for the industry is 1.50, is ACME Fireworks more or less likely to have difficulty paying its currently maturing debts (compared to the industry average)? more likely less likey Requirement 3: c-1. Assume the notes payable were due on April 1, 2018, rather than April 1, 2019. Calculate the revised current ratio at the end of January. Current Ratio Choose Numerator Choose Current Ratio Current Ratio imes c-2. Indicate whether the revised ratio would increase, decrease, or remain unchanged. Decrease the current rati Increase the current ratio Remain unchanged