Using the following year-end information for Calvins Clothing, Inc., calculate the current ratio and acid-test ratio for the business:

Cash	$ 54,820
Short-term investments	12,000
Accounts receivable	54,000
Inventory	230,000
Prepaid expenses	6,160
Accounts payable	106,000
Other current payables	31,300

1.60 and 1

.38 and 1.14

2.60 and 0.88

2.95 and 1.14

1.60 and 0.88