Current Attempt in Progress Eugene Enterprise Ltd. revealed the following information for the years ended December 31, 2019 and 2020: 2019 2020 Current Assets Cash $25,000 $26,250 Accounts Receivable 247,500 299,000 Inventory 1,950,000 1.725,000 Prepaid expenses 4,000 4,000 Total Current Assets $2,226,500 $2,054,250 Current Liabilities $1,400,000 $1,225,000 Net Credit Sales $2,400,000 $2,255,000 Orville Enterprise's credit terms are net 30 days. On average Eugene Enterprise has been collecting its accounts receivable O within the 30 days required by its credit terms. after the 30 days has passed. within the discount period of 10 days. o more information is needed to answer this question Orville Enterprise's credit terms are net 30 days. On average Eugene Enterprise has been collecting its accounts receivable within the 30 days required by its credit terms. O after the 30 days has passed. within the discount period of 10 days. O more information is needed to answer this question von Monte The following amounts were reported by Leau Ltd. in its most recent statement of financial position: Cash $30,920 Accounts payable $574,000 Accounts receivable 394,230 Wages payable 32,000 Inventory 703,430 Income tax payable 64,000 Prepaid insurance 15,460 Unearned revenue 103,000 Property, plant, and equipment (net) 1,788,700 Bank loan payable (due in 5 years) 48,000 X Your answer is incorrect. Calculate the current ratio and quick ratio for Leau Ltd. (Round answers to 2 decimal places, eg, 15.25.) Current ratio 1.71 Quick ratio 0.63 e Textbook and Media Assistanced Your answer is partially correct. Leau Ltd's bank loan includes covenants related to minimum current and quick ratios that the company must maintain. The covenants state that the company must maintain a current ratio of 1.40 or more, and a quick ratio of 0.63 or more. How would a $77,300 loan, which would be repayable in three years, affect your analysis? (Round answer to 2 decimal places, es. 15.25.) Quick ratio 0.63 The company would V meet its target e Textbook and Media Assistance Used Current Attempt in Progress The effectiveness of internal control is limited by O fraud. O cash on hand. collusion O all of the above Onone of the above. e Textbook and Media Assistance Used Save for Late Last saved 1 day ago Saved work will be auto-submitted on the due date. Auto submission can take up to 10 minutes. Attempts:0 of 1 used Submit Answer The statement of financial position method is also known as O the percentage of credit sales method. o the easy collection method. the aging of accounts receivable method. O none of the above eTextbook and Media Attempts:0 of 1 used Submit Answer Save for Later Last saved 3 hours ago Saved work will be auto-submitted on the due date Auto- submission can take up to 10 minutes. Current Attempt in Progress All of the following are examples of physical controls except O locks Ofences. bank reconciliations. O alarms. e Textbook and Media Save for Later Last saved 3 hours ago Attempts:0 of 1 used Submit Answer Saved work will be auto-submitted on the due date. Auto- submission can take up to 10 minutes
