During 2007, Kinetic Inc. has monthly cash expenses of ($ 175,000). On December 31, 2007, the cash

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During 2007, Kinetic Inc. has monthly cash expenses of \(\$ 175,000\). On December 31, 2007, the cash balance is \(\$ 1,575,000\).

a. Compute the ratio of cash to monthly cash expenses.

b. Based upon (a), what are the implications for Kinetic Inc.?objs. 4, 5

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Financial Accounting

ISBN: 9780324380675

10th Edition

Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac

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