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Q1) Given below is the balance sheet of a company. Find out the following ratios:...

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Q1) Given below is the balance sheet of a company. Find out the following ratios: a) Working Capital b) Quick Ratio c) Current Ratio d) Total Dept/Equity Ratio. LIABILITIES & NET WORTH Current Liabilities Accounts Payable Current Portion Long-term Debt $ 41,383 $ 21,900 $ 8,925 900 ASSETS Current Assets Cash in Bank Accounts Receivable Less Allowance for Bad sau Debts Inventory Prepaid Expenses Total Current Assets $ (700) 5,625 Current Portion Note Payable Total Current Liabilities 400 10,225 $ $ 68,208 Long-term Liabilities Mortgage Payable (greater than 12 months) Less: Short-term Portion Note Payable Auto Less: Short-term Portion Noncurrent Assets Automobile Land Total Noncurrent Assets $ 18,000 (900) 8,800 (400) 12,800 20,000 $ 32,800 Total Long-term Liabilities $ 25,500 Total Liabilities $ 35,725 Total Assets $ 101,008 Owners' Equity (Net Worth) Owner's Investment Retained Eamings Total Owner's Equity 50,000 15,283 65,283 Total Liabilities & Net Worth $101,008 Q2) Imagine that you are a banker and the Debt-Asset and Debt- Equity ratios of this company were close to 1. Would you approve a loan request from the Company? Explain Why/Why not

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