XYZ Corporation’s financial records at the end of the year included the following amounts:

Cash: $80,000

Accounts Receivable: $35,000

Inventory: $12,000

Accounts Payable: $9,000

Notes Payable: $7,000

Retained Earnings (beginning of the year): $20,000

Common Stock: $60,000

Sales Revenue: $50,000

Cost of Goods Sold: $22,000

Operating Expenses: $10,000

Interest Expense: $2,000

Income Tax Expense: $4,000

Requirements:

Calculate the net income for the year.

Determine the ending retained earnings.

Compute the current ratio.

Calculate the debt-to-equity ratio.