Norsk Optronics, ALS, of Bergen, Norway, had a current ratio of 2 on June 30 of the current year. On that date, the companys assets were:

Cash

$

78,000

Accounts receivable, net

390,000

Inventory

750,000

Prepaid expenses

8,000

Plant and equipment, net

1,820,000

Total assets

$

3,046,000

Required:

1.

What was the companys working capital on June 30?

2.	What was the companys acid-test ratio on June 30?