X P4-5 (similar to) Question Help (Liquidity Analysis) The King Carpet Company has $2,800,000 in cash and a total of $11,760,000 in current assets. The firm's current liabilities equal $6,400,000 such that the firm's current ratio equals 2.2. The company's managers want to reduce the firm's cash holdings down to $1,090,000 by paying $579,000 in cash to expand the firm's truck feet and using $1,131,000 in cash to retire a short-term note. If they carry this plan through what will happen to the firm's current ratio? The new current ratio is (Round to one decimal place)