The following is a summary of information presented on the financial statements of a company on December 31, 2015.

Account 2015 2014

Current Assets $65,000 $50,000

Accounts Receivable 80,000 75,000

Merchandise Inventory 50,000 40,000

Current Liabilities 75,000 50,000

Long term Liabilities 30,000 50,000

Common Stock 50,000 40,000

Retained Earnings 40,000 25,000

Net Sales Revenue $525,000 $500,000

Cost of Goods Sold 400,000 395,000

Gross Profit $125,000 $105,000

Selling Expense 45,000 50,000

Net income before income tax expense $80,000 $55,000

Income tax expense 24,000 16,500

Net Income $56,000 $38,500

a. current liabilities are 38.46% of total capital

b. a 50.00% increase in current liabilities

c. a 33.33% increase in current liabilities

d. a current ratio of .87