Question

Greenfern Corporation Income Statement for the Fiscal Year Ended July 31, 2014
Net sales		$62,983
Cost of products sold		44,799
Gross profit		$18,184
Selling, general, and administrative expenses		8,026
Depreciation		912
Operating income (loss)		$9,246
Interest expense		558
Earnings (loss) before income taxes		$8,688
Income taxes		3,041
Net earnings (loss)		$5,647

Greenfern Corporation Balance Sheet as of July 31, 2014
Assets				Liabilities and Stockholders’ Equity
Cash and marketable securities		$6,930		Accounts payable		$4,848
Accounts receivable		6,746		Accrued and other liabilities		4,304
Inventory		7,650		Taxes payable		3,664
Deferred income taxes		755		Debt due within one year		8,191
Prepaid expenses & other receivables		2,411		Total current liabilities		$21,007
Total current assets		$24,492
Property, plant, and equipment, at cost		53,722		Long-term debt		20,880
Less: Accumulated depreciation		19,089		Deferred income taxes		5,937
Net property, plant, and equipment		$34,633		Other non-current liabilities		4,823
Net goodwill and other intangible assets		13,990		Total liabilities		$52,647
				Common stock		3,154
				Retained earnings		17,314
				Total stockholders’ equity		20,468
Total assets		$73,115		Total liabilities and stockholders’ equity		$73,115

Current ratio:

Quick ratio:

Answer 1