Question
Hurry Please! Booker Corporation had the following comparative current assets and current liabilities: Dec. 31, 2017Dec. 31, 2016 Current assets Cash$60,000$30,000 Short-terminvestments40,00010,000 Accountsreceivable55,00095,000 Inventory110,00090,000 Prepaidexpenses35,00020,000
Hurry Please!
Booker Corporation had the following comparative current assets and current liabilities:
Dec. 31, 2017Dec. 31, 2016
Current assets
Cash$60,000$30,000
Short-terminvestments40,00010,000
Accountsreceivable55,00095,000
Inventory110,00090,000
Prepaidexpenses35,00020,000
Total currentassets$300,000$245,000
Current liabilities
Accountspayable$140,000$110,000
Salariespayable40,00030,000
Income taxpayable20,00015,000
Total currentliabilities$200,000$155,000
During 2017, credit sales and cost of goods sold were $750,000 and $400,000, respectively.
Compute the Acid-Test Ratio for 2017.
a.$100,000
b.7.8:1
c.0.78:1
d.None of these
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Public Personnel Administration And Labor Relations
Authors: Norma M Riccucci
1st Edition
1317461754, 9781317461753
