Question
ABC Corporation's financial statements show the following: Cash: $120,000 Accounts receivable: $70,000 Inventory: $60,000 Total current liabilities: $80,000 Total assets: $600,000 Total liabilities: $240,000 Net
ABC Corporation's financial statements show the following:
- Cash: $120,000
- Accounts receivable: $70,000
- Inventory: $60,000
- Total current liabilities: $80,000
- Total assets: $600,000
- Total liabilities: $240,000
- Net income: $90,000
Compute: a) Quick ratio b) Inventory turnover ratio c) Return on equity d) Operating profit margin
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Survey of Accounting
Authors: Thomas Edmonds, Christopher Edmonds, Philip Olds, Frances McNair, Bor Yi Tsay
5th edition
1259631125, 978-1259631122
