d. 3.64

* Question Completion Status: QUESTION 7 Current liabilities normally include all of the following except: a. Accounts payable. Ob. Bonds payable Oc. Salaries payable d. Dividends payable QUESTION 8 A business shows equity as follows in its statement of financial position: Owner's equity: James Smith, capital.... $3,277,000 The business is a (an) O a. Sole proprietorship b. Partnership O Corporation d. Joint venture W 2 070 dtherm e Test: Week 1 Qu-201902-1 Question Completion Status: A business shows equity as follows in its statement of financial position: Shareholders' equity: Common stock. .... ......$7,555,000 Retained earnings... ming.. .... 8,435.000 Total stockholders' equity.......... ...$15,990,000 The business is a (an) a. Sole proprietorship b. Partnership O Corporation d. joint venture QUESTION 10 What is a disadvantage of the partnership business form as opposed to the corporate business form? a. Partnerships pay double federal income tax on partnership earnings, once at the partnership level, and once again upon distribution of profit to partners at the individual partner's level. b. Partnerships pay no federal income tax OC Partners are personally liable for partnership debt Od Corporate shareholders are not personally liable for corporate debt A business has current assets totaling $6,000,000 and working capital of $4,400,000. What is the current ratio? a. 1.36 b.0.36 c. 3.75 d.0.73 QUESTION 12 The following account balance information is available as of December 31, 20X4 for XYZ Co.: Cash. Accounts receivable.. Marketable securities... Prepaid insurance....... Equipment (net)............. Current liabilities (total).. Long-term liabilities (total). Common stock... Retained earnings.... .............$500,000 ..........$2,500,000 ......$1,000,000 .....$250,000 ...$7,750,000 $1,100,000 ..$5,000,000 ..S4,800,000 $1,100,000 What is XYZ Co.'s quick or acid-test ratio? a. 5.00 b.2.73 c. 3.86