Kramer Industries has cash of $34,000; net Accounts Receivable of $45,000; short term investments of $21,000 and

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Question:

Kramer Industries has cash of $34,000; net Accounts Receivable of $45,000; short term investments of $21,000 and inventory of $29,000. It also has $20,000 in current liabilities and $52,000 in long term liabilities. What is the current ratio for Kramer Industries?

A.6.45

B.1.38

C.5.00

D.2.60