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Using the following year-end information for Calvin’s Clothing, calculate the current ratio and acid-test ratio for...

Using the following year-end information for Calvin’s Clothing, calculate the current ratio and acid-test ratio for the business:

Cash $ 55,320
Short-term investments 12,500
Accounts receivable 55,000
Inventory 240,000
Prepaid expenses 9,780
Accounts payable 106,500
Other current payables 31,500
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