Question
Kirsten Company presented the following data at the end of 2016: Cash $900,000 Accounts receivable 1,600,000 Merchandise inventory 1,400,000 Prepaid insurance 150,000 Property & equipment
Kirsten Company presented the following data at the end of 2016:
Cash $900,000
Accounts receivable 1,600,000
Merchandise inventory 1,400,000
Prepaid insurance 150,000
Property & equipment 4,000,000
Accounts payable 350,000
Unearned revenue 400,000
Wages payable 800,000
Bonds payable 2,000,000
Determine the current ratio for Kirsten Company (rounded).
A) 4.41
B) 4.23
C) 2.61
D) 2.38
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
College Accounting Chapters 1-30
Authors: John Price, M. David Haddock, Michael Farina
15th edition
1259994975, 125999497X, 1259631117, 978-1259631115
