The following items appear on the balance sheet of The Piano Company at the end of 2017 and 2016: 2017 2016 Current assets $6,000 $3,000 Long-term assets 7,000 4,000 Current liabilities 2,000 3,000 Long-term liabilities 7,000 0 Stockholders' equity 4,000 4,000 Between 2016 and 2017

a. The Piano Company's debt-to-equity ratio and current ratio both increased.
b. The Piano Company's debt-to-equity ratio and current ratio both decreased.
c. The Piano Company's debt-to-equity ratio increased and its debt-to-total assets ratio decreased.
d. The Piano Company's debt-to-equity ratio decreased and its debt-to-total assets ratio increased.


a

Business

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