Question: Current and Quick Ratios Ace Industries has current assets equal to $6 million. The company's current ratio is 3.0, and its quick ratio is 2.5.

Current and Quick Ratios

Ace Industries has current assets equal to $6 million. The company's current ratio is 3.0, and its quick ratio is 2.5.

  1. What is the firm's level of current liabilities? Enter your answer in dollars. For example, an answer of $1.2 million should be entered as 1,200,000 $ 2,000,000
  2. What is the firm's level of inventories? Enter your answer in dollars. For example, an answer of $1.2 million should be entered as 1,200,000 $ ???

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

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

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!