Balance Sheet:

Solution:

Calculate and interpret the current ratio, debt-to-equity ratio, and return on equity (ROE) for 2020.

Current Ratio = Current Assets / Current Liabilities = (100,000 + 200,000) / (300,000) = 1.33

Debt-to-Equity Ratio = Total Debt / Total Equity = (300,000) / (300,000) = 1

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