SHORT-TERM LOAN REFINANCING The following items are based on the financial statements of CARMEL COMPANY. Current assets P 750,000 Short-term loan payable 600,000 Total liabilities 3,000,000 Current ratio 1.5 Debt-to-equity ratio 1.5 Carmel Company has arranged with its bank to refinance its Short-term loan when it becomes due in 3 months. The new loan will have a term of 5 years. Required: 22. Compute the following: a. Total current liabilities b. Total shareholder's equity C. Total non-current liabilities 23. As the auditor of Carmel Company, how would you verify the validity of the short-term loan refinancing