Question: CURRENT ASSETS CURRENT LIABILITIES CASH $ 5,000,000 A/P $ 4,000,000 A/R 2,000,000 OTHER 2,000,000 INVENTORY 3,000,000 TOTAL C/A $ 10,000,000 $ 6,000,000 CURRENT RATIO: 1.67
| CURRENT ASSETS | CURRENT LIABILITIES | |||||||||||
| CASH | $ 5,000,000 | A/P | $ 4,000,000 | |||||||||
| A/R | 2,000,000 | OTHER | 2,000,000 | |||||||||
| INVENTORY | 3,000,000 | |||||||||||
| TOTAL C/A | $ 10,000,000 | $ 6,000,000 | ||||||||||
| CURRENT RATIO: | 1.67 | |||||||||||
| Based on the above, describe what action you could take to raise the current ratio to 2.0. | ||||||||||||
| [That action can be described in single sentence] | ||||||||||||
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