Question
Cash ratio = (Cash + Cash equivalents) / Total current liabilities Now, c ompute the cash ratios for 2016 and 2015. (Round your answers to
| Cash ratio | = | (Cash + Cash equivalents) / Total current liabilities |
Now,
compute
the cash ratios for
2016
and
2015.
(Round your answers to two decimal places, X.XX.)
2016:
2015:
More
Lanfield, Inc.
Comparative Balance Sheet
December 31, 2016 and 2015
2016
2015
2014*
Assets
Current Assets:
Cash
$98,000
$97,000
Accounts Receivables, Net
112,000
119,000
$106,000
Merchandise Inventory
147,000
162,000
202,000
Prepaid Expenses
12,000
7,000
Total Current Assets
369,000
385,000
Property, Plant, and Equipment, Net
219,000
176,000
Total Assets
$588,000
$561,000
$600,000
Liabilities
Total Current Liabilities
$226,000
$246,000
Long-term Liabilities
122,000
94,000
Total Liabilities
348,000
340,000
Stockholders' Equity
Preferred Stock, 4%
108,000
108,000
Common Stockholders' Equity, no par
132,000
113,000
94,000
Total Liabilities and Stockholders' Equity
$588,000
$561,000
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Financial Accounting For Decision Makers
Authors: Peter Atrill, Eddie McLaney
7th Edition
027378563X, 9780273785637
