With all the below information provided, create the closing entries and ratio analysis.

3. Prepare the required closing entries on December 31, 2024. Note: All balances are closed to Retained Earnings. \begin{tabular}{|l|r|r|} \hline \multicolumn{2}{|c|}{ Incredible Edible Corporation } \\ \hline \multicolumn{1}{|c|}{ Income Statement } \\ \hline Sales Revenue & & 800,00 \\ \hline Cost of Goods Sold & & 480,000 \\ \hline Gross profit & & 320,000 \\ \hline Operating expenses: & $120,000 & \\ \hline Salaries Expense & 12,000 & \\ \hline Rent Expense & 2,000 & \\ \hline Insurance Expense & 3,800 & \\ \hline Supplies Expense & 60,000 & \\ \hline Depreciation Expense & & 197,800 \\ \hline Total operating expenses & & 122,200 \\ \hline Operating income & & \\ \hline Other expense: & & 4,000 \\ \hline Interest Expense & & 25,000 \\ \hline Income Tax Expense & & 93,200 \\ \hline Net income \end{tabular} Note: Show your work. Round your answer to 2 decimal places. 2. Calculate the acid-test (quick) ratio. Note: Show your work. Round your answer to 2 decimal places. 3. Calculate the debt-to-equity ratio. Note: Show your work. Round your answer to 2 decimal places. 4. Calculate the gross margin ratio. Note: Show your work. Round your answer to 1 decimal place. 5. Calculate the profit margin on sales ratio. Note: Show your work. Round your answer to 1 decimal place. \begin{tabular}{|c|c|c|} \hline \multicolumn{3}{|c|}{ Balance Sheet } \\ \hline \multicolumn{3}{|c|}{ At December 31, 2024} \\ \hline \multicolumn{3}{|c|}{ Assets } \\ \hline \multicolumn{3}{|l|}{ Current assets: } \\ \hline Cash & 21,000 & \\ \hline Account Recievable & 300,000 & \\ \hline Inventory & 50,000 & \\ \hline Prepaid Rent & 9,000 & \\ \hline Prepaid Insurance & 10,000 & \\ \hline Supplies & 4,200 & \\ \hline Total current assets & & 394,200 \\ \hline \multicolumn{3}{|l|}{ Property and equipment: } \\ \hline Office equipment & $600,000 & \\ \hline Less: Accumulated depreciation & 250,000 & 350,000 \\ \hline Total assets & & 744,200 \\ \hline \multicolumn{3}{|c|}{ Liabilities and Shareholder Equity } \\ \hline \multicolumn{3}{|l|}{ Current liabilities: } \\ \hline Accounts Payable & 60,000 & \\ \hline Salaries Payable & 8,000 & \\ \hline Interest payable & 2,000 & \\ \hline Notes payable & 60,000 & \\ \hline Total current liabilities & & 130,000 \\ \hline \multicolumn{3}{|l|}{ Shareholders' equity } \\ \hline Common stock & $400,000 & \\ \hline Retained earnings & 214,200 & \\ \hline Total shareholders' equity & & 614,200 \\ \hline Total liabilities \& shareholc & & 744,200 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|} \hline Account Title & Debits & Credits \\ \hline Cash & 21,000 & \\ \hline Accounts Receivable & 300,000 & \\ \hline Prepaid rent & 9,000 & \\ \hline Prepaid Insurance & 10,000 & \\ \hline Supplies & 4,200 & \\ \hline Inventory & 50,000 & \\ \hline Office Equipment & 600,000 & \\ \hline Accumulated depreciation & & 250,000 \\ \hline Accounts payable & & 60,000 \\ \hline Notespayable(dueinsixmonths) & & 60,000 \\ \hline Salaries payable & & 8,000 \\ \hline Interest payable & & 2,000 \\ \hline Common stock & & 400,000 \\ \hline Retained earnings & & 121,000 \\ \hline Sales revenue & & 800,000 \\ \hline Cost of goods sold & 480,000 & \\ \hline Salaries expense & 120,000 & \\ \hline Rent expense & 12,000 & \\ \hline Insurance expense & 2,000 & \\ \hline Supplies expense & 3,800 & \\ \hline Depreciation expense & 60,000 & \\ \hline Interest expense & 4,000 & \\ \hline Income Tax expense & 25,000 & \\ \hline Totals & 1,701,000 & 1,701,000 \\ \hline \end{tabular}