Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Calculator ructions $412,500 187,500 300,000 700,000 50,000 200,000 250,000 300,000 Cash Marketable securities Accounts and notes receivable (net) Inventories Prepaid expenses Accounts payable Notes payable
Calculator ructions $412,500 187,500 300,000 700,000 50,000 200,000 250,000 300,000 Cash Marketable securities Accounts and notes receivable (net) Inventories Prepaid expenses Accounts payable Notes payable (short-term) Accrued expenses Required: 1. Compute (A) the working capital,(B) the current ratio, and (c) the quick ratio. Round ratios to one decimal place. 2. Compute the working capital, the current ratio, and the quick ratio after each of the following transactions and record the results in the appropriate columns of the table provided.Consider each transaction separately and assume that only that transaction affects the data given. Round ratios to one decimal place A. Sold marketable securities at no gain or loss, $$70,000. B. Paid accounts payable, $$125,000 C. Purchased goods on account, $$110,000 D. Paid notes payable, $$100,000. Deciared a cash dividend $$150,000. F. Declared a common stock dividend on common stock, $$50,000. G. Borrowed cash from bank on a long-term node, $$225,000 H. Received cash on account $$125,000. L Issued additional shares of stock for cash, $$800,000 J. Paid cash for prepaid expenses, $$10,000 E. Check My Work Email inst All work saved. 1. Compute the following. Round ratios to one decimal place A. Working capital:S B. Current ratio: C. Quick ratio: Starting Question Final Question Final Question he working capital, the current ratio, and the quick ratio after each of the tollowing transactions and record the results n decimal place resuits in the appropriate columns of the table provided Consider each transaction separately and assume that only that transaction affects the data given. Round ratios to one Current Quick Capital Ratio Ratio A. B. C. D. G. H
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started