Question
Cornerstone Exercise 8-33 (Algorithmic) Liquidity Ratios XYZ's financial statements contain the following information: Cash $300,200 Accounts receivable 641,700 Inventory 793,500 Marketable securities 100,000 Accounts payable
Cornerstone Exercise 8-33 (Algorithmic) Liquidity Ratios
XYZ's financial statements contain the following information:
| Cash | $300,200 |
| Accounts receivable | 641,700 |
| Inventory | 793,500 |
| Marketable securities | 100,000 |
| Accounts payable | 531,000 |
| Accrued expenses | 159,000 |
| Long-term debt | 1,300,000 |
Round answers to two decimal places.
Required:
1. What is its current ratio?
2. What is its quick ratio?
3. What is its cash ratio?
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Cornerstones Of Financial Accounting
Authors: Jay Rich, Jefferson Jones, Maryanne Mowen, Don Hansen, Donald Jones, Ralph Tassone
2nd Canadian Edition
0176707123, 978-0176707125
