Question: Calculate the current and quick ratios using the information provided. Current assets: Cash . . . . . . . . . . . .

Calculate the current and quick ratios using the information provided.
Current assets:
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 50,000
Accounts receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80,000
Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 125,000
Current liabilities:
Accrued expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 25,000
Accounts payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 110,000
Current portion of long-term debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 56,000

Step by Step Solution

★★★★★

3.47 Rating (157 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Current ratio 50000 80000 125... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

1043-B-M-A-J-O-C (2155).docx

120 KBs Word File

Students Have Also Explored These Related Managerial Accounting Questions!

Foster Company had current assets and current liabilities as follows. Current assets: Cash ............................................... $ 50,000 Accounts receivable ................................

Garrett Company had current assets and current liabilities as follows: Current assets: Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....

Given the following information, compute the current and quick ratios: Cash............ $100,000 Accounts receivable..... 357,000 Inventory............ 458,000 Current liabilities....... 498,000...

Foster Company had current assets and current liabilities as follows. Current assets: Cash $ 50,000 Accounts receivable 80,000 Inventory 125,000 Current liabilities: Accrued expenses $ 25,000...

1.2 Calculate Amazon's current and quick ratios. Using relevant figures extracted from 108 their 2021 financial statements, interpret what these current and quick ratios mean. Financial information...

1.2 Calculate Amazon's current and quick ratios. Using relevant figures extracted from their 2021 financial statements, interpret what these current and quick ratios mean. Financial information...

Calculate Amazons current and quick ratios. Using relevant figures extracted from their 2021 financial statements, interpret what these current and quick ratios mean. Financial information pertaining...

Atluck Ltd. is a small manufacturing company in Nova Scotia. You have been provided with the following information from the company's most recent balance sheet: Cash.................. $ 92,500...

5. Castelgrant Company had Cash of $200,000, Accounts Receivable of $150,000, Plant \& Equipment of $350,000, Inventory of $75,000 and other assets of $90,000. Castelgrant's liabilities consisted of...

4. Angeles Manufacturing use 5,000 semi-conductor pieces per week and then reorders 7,500 per week. The carrying cost per semi-conductor is $5.00 and the fixed order cost is $1,100. Is Raul, the...

Consider the following probability distribution for stocks X and Y: State Probability Return on Stock X Return on Stock Y 1 0.3 10% -12% 2 0.5 12% 16% 3 0.2 -14% 22% If there exist a risk-free asset...

Now speaking generally, when is making a misrepresentation acceptable? (Check all that apply): To protect life or the physical safety of people, to protect a job, to protect another persons feelings,...

KP Consulting services are trying to determine an appropriate hourly rate for their consulting services. They have calculated that the consultants hourly cost to company is R150 per hour and their...

Based on your answers to Problem 32-4 , which nation has a comparative advantage in producing digital TVs? Which nation has a comparative advantage in producing bottles of wine?

Briefly describe the flow of cash among receivables, cash, and marketable securities.

Why are cash balances in excess of those needed to finance business operations viewed as relatively nonproductive assets? Suggest several ways in which these excess cash balances may be utilized...

1. The basic WACC equation The cakulation of WACC involves calculating the weighted average of the required rates of return on debt, preferred stock, and common equity, where the weights equal the...

hey.. can I you help me with this exercise Zabagawa Inc. is thinking about marketing a new software product. Upfront costs to market and develop the product are $5 million. The product is expected to...

You can earn 0.35 percent per month at your bank. Required: If you deposit $1,800, how long must you wait until your account has grown to $3,500? (Enter rounded answer as directed, but do not use the...