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Whispering Winds Company provides you with the following balance sheet information as of December 31, 2022 Current assets $10,800 Current liabilities $12.950 Long-term assets

 

Whispering Winds Company provides you with the following balance sheet information as of December 31, 2022 Current assets $10,800 Current liabilities $12.950 Long-term assets 25,000 Long-term liabilities 9.900 Stockholders' equity 12,950 $35,800 Total liabilities and stockholders' equity $35.800 Total assets In addition, Whispering Winds reported net income for 2022 of $15,650, income tax expense of $3,130, and interest expense of $1,500. (a) Compute the current ratio and working capital for Whispering Winds for 2022. (Round ratio to 2 decimal places, e.g. 2.75:1. Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses e.g. (45).) Current ratio Working capital (b) Assume that at the end of 2022, Whispering Winds used $3,200 cash to pay off $3,200 of accounts payable. How would the current ratio and working capital have changed? (Round ratio to 2 decimal places, eg. 2.75:1. Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheses eg. (45).) Current ratio Working capital :1 Current ratio Working capital (b) Assume that at the end of 2022, Whispering Winds used $3,200 cash to pay off $3.200 of accounts payable. How would the current ratio and working capital have changed? (Round ratio to 2 decimal places, e.g. 2.75:1. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Current ratio Working capital (c) Compute the debt to assets ratio and the times interest earned ratio for Whispering Winds for 2022. (Do not use the information from (b) to determine the solution.) (Round answers to 1 decimal place, e.g. 15.2 or 15.2%) Debt to assets ratio 11 Times interest earned ratio %

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