Hudson Crowe Winery requested that you determine whether the company€™s ability to pay its current liabilities and long-term debts improved or deteriorated during 2014. To answer this question, compute the following ratios for 2014 and 2013:

(a) Current ratio,

(b) Quick ratio,

(c) Debt ratio, and

(d) Times-interest-earned ratio. Summarize the results of your analysis.

2014 2013 Cash. Accounts Receivable, Net .. Total Assets... 41,000 49,000 90,000 156,000 570,000 650,000 ... Long-Term Liabilities... Income From Operations.. Interest Expense. 30,200 32,000 145,000 203,000 46,000 40,000