Information supporting the table above is below and is used to answer the question.

• Sales totaled $110,000
• Cost of goods sold was $82,500
• Inventory days on hand was 120
• The average collection period was 65 days
• The current ratio is 2.0

If we assume current assets are $26,000, current liabilities must be ___________. (see table above)

Question 14 options:

a)

$52,000

b)

$13,000

c)

$26,000

d)

$6,500