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(The following information applies to the questions displayed below.) Selected comparative financial statements of Korbin Company follow. KORBIN COMPANY Comparative Income Statements For Years Ended
(The following information applies to the questions displayed below.) Selected comparative financial statements of Korbin Company follow. KORBIN COMPANY Comparative Income Statements For Years Ended December 31, 2019, 2018, and 2017 2019 2018 Sales $ 555,000 $ 340,000 Cost of goods sold 283,500 212, 500 Gross profit 271, 500 127,500 Selling expenses 102, 900 46, 920 Administrative expenses 50, 668 29, 920 Total expenses 153, 568 76, 840 Income before taxes 117, 932 50, 660 Income tax expense 40, 800 10, 370 Net income $ 77, 132 $ 40, 290 2017 $ 278,000 153, 900 124, 100 50, 800 22, 800 73, 600 50, 500 15, 670 $ 34, 830 2018 2017 KORBIN COMPANY Comparative Balance Sheets December 31, 2019, 2018, and 2017 2019 Assets Current assets $ 52,390 Long-term investments 0 Plant assets, net 100,000 Total assets $ 152, 390 Liabilities and Equity Current liabilities $ 22, 800 Common stock 72,000 Other paid-in capital 9,000 Retained earnings 48, 590 Total liabilities and equity $ 152, 390 $ 37,924 500 96,000 $ 134, 424 $ 51, 748 3,950 60,000 $ 115, 698 $ 19,960 72,000 9,000 33, 464 $ 134, 424 $ 20,300 60,000 6,000 29, 398 $ 115, 698 Required: 1. Complete the below table to calculate each year's current ratio. Current Ratio Choose Denominator: 1 = Current ratio Choose Numerator: Accounts receivable 1 Accounts receivable, net Current ratio 2019 / 0 to 1 2018 / 0 to 1 2017 / = 0 to 1
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