Using the financial information presented in Table A of problem 1, calculate the following ratios for 2015 and 2016:

The current ratio:

The debt/equity ratio:

Table A: Balance Sheet for 2015 and 2016 all values in thousands of dollars 2015 2016 Assets Cash Marketable securities Receivables Inventory Fixed Assets 200 300 800 1,200 3,300 5,800 300 200 1,000 1,000 3,700 6,200 Total Assets Liabilities and common equity Accounts payable Notes payable Other current liabilities Long-term debt Common equity 300 200 1000 1,000 3,300 5,800 200 300 800 1,200 3,700 6,200 Total liabilities and common eguit Table B: Income Statement for 2016 Sales Operating and other costs EBIT Interest Profits before taxes $1,000,000 700,000 300,000 -100,000 200,000 80,000 120,000* Tax at 40% rate Profits after taxes Depreciation amounts to $50,000 in 2016