Required information Problem 2-5A (Algo) Computing net income from equity analysis, preparing a balance sheet, and computing the debt ratio LO A2, P1 [The following information applies to the questions displayed below.] The accounting records of Nettle Distribution show the following assets and liabilities as of December 31 for Year 1 and Year 2. December 31 Cash Accounts receivable Office supplies Year 1 $ 43,232 23,467 3,702 Year 2 $ 6,493 18,398 2,711 121,041 Office equipment 113,633 Trucks 44,466 53,466 Building 0 148,231 Land 0 36,990 Accounts payable 61,695 30,599 Note payable 0 85,221 Problem 2-5A (Algo) Part 3 3. Compute the Year 2 year-end debt ratio. Debt Ratio Numerator: Denominator: = Debt Ratio Total liabilities / Total assets Debt ratio / 0