Jalbert Furniture Company has asked you to determine whether the company’s ability to pay its current liabilities and long-term debts improved or deteriorated during 2018. To answer this question, calculate the following ratios for 2018 and 2017. Round your answers to two decimal places. Summarize the results of your analysis in a short paragraph.

a. Net working capital

b. Current ratio

c. Quick (acid-test) ratio

d. Debt ratio

e. Times-interest-earned ratio

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2017 2018 $ 50,000 $ 49,000 Cash.. Short-term investments.. 29,000 11,000 Net receivables.. 123,000 129,000 Inventory.. 239,000 266,000 .......... Prepaid expenses 20,000 4,000 Total assets. 560,000 470,000 Total current liabilities 217,000 262,000 Long-term debt .. Income from operations. 77,000 104,000 250,000 148,000 Interest expense.... 40,000 38,000 .......