Selected financial information for JPC Enterprises as at December 31, 2021, follows: Additional information: 1. All accounts

Question:

Selected financial information for JPC Enterprises as at December 31, 2021, follows:

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Additional information:

1. All accounts have normal balances.

2. $17,250 of the mortgage payable will be paid before December 31, 2022.

3. The notes payable are payable on May 17, 2022.

Instructions

a. Prepare a classified balance sheet.

b. Calculate working capital, the current ratio, and the acid-test ratio.

c. Comment on the company?s liquidity.

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Related Book For  book-img-for-question

Accounting Principles Volume 1

ISBN: 978-1119502425

8th Canadian Edition

Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak

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