Financial statement data of Morgan Engineerign include the following items:

Requirements
1. Compute Morgan's current ratio, debt ratio, and earnings per share. Round all ratios to two decimal places.
2. Compute the three ratios after evaluating the effect of each transaction that follows. Consider each transaction separately.
a. Borrowed $160,000 on a long-term note payable
b. On January 1, issued 18,000 shares of common stock, receiving cash of $308,000
c. Paid short-term notes payable, $30,000
d. Purchased merchandise of $8,000 on account, debiting Inventory
e. Received cash on account, $24,000

Cash Short-term investments. 32,000 Accrued liabilities. 31,000 Accounts receivable, net86,000 Long-term notes payable. 163,000 Inventories Prepaid expenses Total assets 673,000 Number of common Short-term notes payable48,000 30,000 Accounts payables$107,000 147,000 Other long-term liabilities..x 31,000 91,000 ,000 Net income. shares outstanding S0,000