Question: Current assets totaled $54,000 and the current ratio was 1.5. Assume that the following transactions were completed: (1) Purchased merchandise for $7,000 on short-term credit

Current assets totaled $54,000 and the current ratio was 1.5. Assume that the following transactions were completed:
(1) Purchased merchandise for $7,000 on short-term credit and
(2) Purchased a delivery truck for $12,000, paid $3,000 cash, and signed a two-year interest-bearing note for the balance.
Required:
Compute the cumulative current ratio after each transaction.

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