Construct the current assets section of the balance sheet from the following data. (Use cash as a

Question:

Construct the current assets section of the from the following data. (Use cash as a plug figure after computing the other values.)

Yearly sales (credit)$420,000
Inventory turnover7 times
Current liabilities$80,000
Current ratio2
Average collection period36 days
Current assets: $
Cash______
Accounts receivable______
Inventory______
Total current assets______

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...