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TheThe king carpet company has 2 , 8 1 0 , 0 0 0 in cash and a total of 1 1 , 7 8

TheThe king carpet company has
2
,
810
,
000
in cash and a total of
11
,
780
,
000
in current assets The The firm current liability equals
5
,
290
,
000
Suchsuch that the firm current ratio equals
2.2
the company managers want to reduce the firms cash holding down to
12
,
000
by paying
539
,
000
in cash Tto expand the firm truck, fleet and using
1
,
071
,
000
in cash to retire short term note if they carry this plant through what will happen to the firm current ratio

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