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Classified Balance Sheet
The information that follows is from Cullens Hardware Companys June 30, 2014, post-closing trial balance.
| Account Name | Debit | Credit |
| Cash | 42,800 | |
| Short-Term Investments | 34,300 | |
| Sales Supplies | 1,280 | |
| Merchandise Inventory | 145,000 | |
| Prepaid Rent | 2,100 | |
| Prepaid Insurance | 4,800 | |
| Accounts Receivable | 287,000 | |
| Office Supplies | 440 | |
| E. Cullen, Capital | | 412,660 |
| Notes Receivable | 10,000 | |
| Land | 31,400 | |
| Delivery Equipment | 43,200 | |
| Accumulated DepreciationDelivery Equipment | | 28,400 |
| Trademark | 4,000 | |
| Accounts Payable | | 124,600 |
| Salaries Payable | | 7,700 |
| Deposit for Future Advertising | 3,680 | |
| Interest Payable | | 840 |
| Long-Term Notes Payable | | 80,000 |
| Building, Not in Use | 44,200 | |
| | 654,200 | 654,200 |
Compute Cullens Hardware's current ratio and debt to equity ratio. Round your answers to one decimal place.
| Current ratio | |
| Debt to equity ratio | % |
Answer & Explanation
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