A partial balance sheet for Captain D’s Sportswear is shown below.
(dollars in thousands)
| Assets: | Liabilities: | ||
| Cash | $ 60 | Accounts payable | $ 240 |
| Accounts receivable (net) | 170 | Other liabilities | 80 |
| Investments | 50 | Total current liabilities | 320 |
| Inventory | 200 | Long-term liabilities | 110 |
| Prepaid rent | 25 | Total liabilities | 430 |
| Total current assets | 505 | Stockholders’ equity: | |
| Property & Equipment, (net) | 255 | Common stock | 150 |
| Retained earnings | 180 | ||
| Total stockholders’ equity | 330 | ||
| Total assets | $ 760 | Total liabilities and equity | $ 760 |
The current ratio is: (Round your answer to 2 decimal places.)
