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Compute the following ratios for 2020: a) Current ratio b) Acid-test ratio c) Receivable's turnover d) Inventory turnover Note: Use Average accounts receivables and inventory
Compute the following ratios for 2020: a) Current ratio b) Acid-test ratio c) Receivable's turnover d) Inventory turnover Note: Use Average accounts receivables and inventory for (c) and (d) above.
The comparative statements of FSB are presented below. Balance Sheets December 31 2020 2019 700 4:30 Cash 3,700 Accounts Receivable 23,400 21,200 Inventory 7,000 10,000 Land 26,000 20,000 Building 70,000 70,000 Accumulated Depreciation (10,000) (15,000) Total 120,100 110,500 Accounts payable 31,100 12,370 Common Stock 69,000 75,000 Retained Earnings 20,000 23,130 Total 120,100 110,500 FSB's 2020 income statement included net sales of $100,000, cost of goods sold of $60,000, and net income of $15,000Step by Step Solution
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