ACR Corp. has $1,312,500 in current assets and $525,000 in current liabilities. Its initial inventory level is

Question:

ACR Corp. has $1,312,500 in current assets and $525,000 in current liabilities. Its initial inventory level is $375,000, and it will raise funds from additional notes payable and use them to increase inventory. How much can it increase its short-term debt (notes payable) without pushing its current ratio below 2.0?