Bailey Delivery Company, Incorporated, was organized in 2021 in Wisconsin. The following transactions occurred during the...

 

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Bailey Delivery Company, Incorporated, was organized in 2021 in Wisconsin. The following transactions occurred during the year: a. Received cash from investors in exchange for 14,000 shares of stock (par value of $1.00 per share) with a market value of $11 per share. b. Purchased land in Wisconsin for $19,000, signing a one-year note (ignore interest). c. Bought two used delivery trucks for operating purposes at the start of the year at a cost of $13,000 each; paid $3,000 cash and signed a note due in three years for the rest (ignore interest). d. Paid $1,200 cash to a truck repair shop for a new motor for one of the trucks. (Increase the account you used to record the purchase of the trucks because the productive life of the truck has been improved) e. Sold one-fourth of the land for $4,750 to Pablo Development Corporation, which signed a six-month note. f. Stockholder Helen Bailey paid $29,000 cash for a vacant lot (land) in Canada for her personal use. 1. At the end of the next two years, Bailey Delivery Company reported the following amounts on its balance sheets: December 31, 2022 December 31, 2023 Current Assets $55,000 $50,000 Long-Term Assets 42,000 83,000 Total Assets 97,000 133,000 Short-Term Notes Payable 20,000 37,000 Long-Term Notes Payable 13,000 20,000 Total Liabilities 33,000 57,000 Stockholders' Equity 64,000 76,000 Compute the company's current ratio for 2021, 2022, and 2023. lote: Round your answers to 2 decimal places. Year Current Ratio 2021 2022 2023 Bailey Delivery Company, Incorporated, was organized in 2021 in Wisconsin. The following transactions occurred during the year: a. Received cash from investors in exchange for 14,000 shares of stock (par value of $1.00 per share) with a market value of $11 per share. b. Purchased land in Wisconsin for $19,000, signing a one-year note (ignore interest). c. Bought two used delivery trucks for operating purposes at the start of the year at a cost of $13,000 each; paid $3,000 cash and signed a note due in three years for the rest (ignore interest). d. Paid $1,200 cash to a truck repair shop for a new motor for one of the trucks. (Increase the account you used to record the purchase of the trucks because the productive life of the truck has been improved) e. Sold one-fourth of the land for $4,750 to Pablo Development Corporation, which signed a six-month note. f. Stockholder Helen Bailey paid $29,000 cash for a vacant lot (land) in Canada for her personal use. 1. At the end of the next two years, Bailey Delivery Company reported the following amounts on its balance sheets: December 31, 2022 December 31, 2023 Current Assets $55,000 $50,000 Long-Term Assets 42,000 83,000 Total Assets 97,000 133,000 Short-Term Notes Payable 20,000 37,000 Long-Term Notes Payable 13,000 20,000 Total Liabilities 33,000 57,000 Stockholders' Equity 64,000 76,000 Compute the company's current ratio for 2021, 2022, and 2023. lote: Round your answers to 2 decimal places. Year Current Ratio 2021 2022 2023