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1. Determine Whether Each Transaction Improved Or Hurt Johnston's Current Ratio And Debt Ratio.

1. Determine Whether Each Transaction Improved Or Hurt Johnston's Current Ratio And Debt Ratio.

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1. Determine whether each transaction improved or hurt Johnston's current ratio and debt ratio. (Review each transaction independently. Round calculations to two decimal places
2. Determine whether each transaction improved or hurt Johnston's current ratio and debt ratio. (Review each transaction independently. Round calculations to two decimal places.)
a. Begin by calculating the current ratio and debt ratio to include the purchase of the equipment.

 
1. I need to know what the current ratio=?     and    Debit ratio=?
2. If it Doesn’t Change, Hurts or Improves the Current Ratio and Debit Ratio?
-Purchase equipment on account= $8
-Paid long-term debt=$5
-Collected cash from customers in advance=$4
-Accrued interest expense=$4
-Made Cash Sales=$8


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