The following information is available about Alex company. Average cash and marketable securities = $1 million Earnings
Fantastic news! We've Found the answer you've been seeking!
Question:
The following information is available about Alex company.
Average cash and marketable securities = $1 million
Earnings Before Interest and Tax = $2 million
Average inventory = $5 million
Cost of Goods Sold = $15 million
Average accounts payable = $3 million
Long-term loan = $8 million
Average accounts receivable = $3 million
Interest rate on loan = 10%
Total Sales = $20 million
Calculate the following:
a) Inventory turnover ratio
b) Current ratio
c) Quick ratio and
Related Book For
Intermediate Accounting
ISBN: 978-0324300987
10th Edition
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones
Posted Date: