HW CH2 & CH3

Question 36

The balance sheet for Altoid Co. is shown below. ALTOID CO. Balance Sheet At December 31, 2021 Assets: Cash Short-term investments Accounts receivable (net) Inventory Property, plant, and equipment (net) Total assets Liabilities and shareholders' equity: Current liabilities Long-term liabilities Common stock Retained earnings Total liabilities and shareholders' equity $ 310 1,000 1,100 1,250 1, 120 $ 4,780 $ 1,250 1,400 950 1,180 $ 4, 780 Selected 2021 income statement information for Altoid Co. includes: Net Sales Operating expenses Income before interest and tax Interest expense Income tax expense Net income $9,300 8,430 870 120 225 $ 525 Required: Compute the following financial statement ratios for 2021: Altoid Co.'s current ratio. (Round your answer to 2 decimal places.) Current ratio