Use the information in the adjusted trial balance reported in Exercise 4-4 to compute the current ratio as of the balance sheet date (round the ratio to two decimals). Interpret the current ratio for the Wilson TruckingCompany.

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Account Title Debit Credit Cash _.. . Accounts receivable Office supplies 17,500 3,000 172,000 Accumulated depreciation-Trucks $36,000 85,000 Accounts payable . . Interest payable Long-term notes payable .. K. Wilson, Capital K. Wilson, Withdrawals 12,000 4,000 53,000 175,000 20,000 130,000 Depreciation expense Trucks Salaries expense Office supplies expense Repairs expense Trucks Totals 23,500 61,000 8,000 12,000 $410,000 $410,000