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M$2-24($Algo$)$ Evaluating the Impact of Transactions on the Current Ratio $[$LO $2-5]$

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a$.$ Paid $$4,500$ cash for a new oven.

b$.$ Received a $$4,500$ cash contribution from an investor for the company's common stock.

c$.$ Borrowed $$18,600$ cash from a bank, issuing a note that must be repaid in three years.

d$.$ Purchased $$1,500$ of napkins, paper cups, and other disposable supplies on account.

Crimplete this question by entering your answers in the tabs below.

$\backslash$table$[[$Required $A,$Required B$,$Required $C,$Required D$]]$

Required:

Calculate the current ratio of Mister Ribs Restaurant and determine whether it will increase or decrease as a result of the follow transactions. Consider each transactions. Consider each item, $($a$)$ to $($d$),$ independent of the others.

The balance sheet of Mister Ribs Restaurant reports current assets of $$60,000$ and current liabilities of $$30,000.$

Required: Calculate the current ratio of Mister Ribs Restaurant and determine transactions. Consider each item, $($a$)$ to $($d$),$ independent of the others.

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Crirmplete this question by entering your answers in the tabs below.

Calculate the current ratio and determine whether it will increase, decrease, or remain the same. Pald $$4,500$ cash for a new oven.

$\backslash$table$[[$Numerator$,$Current Ratio,$],[$Denominator$,,]]$

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