Omar Company reported net income of 1 150,000 JD for the current year. Depreciation recorded on buildings and equipment amounted to 80,000 JD for the year. Balances of the current asset and current liability accounts at the beginning and end of the year are as follow Beginning of the year Cash = 15,000 JD Account receivable 30,000 JD Inventories = 65,000 JD Prepaid expenses = 5000 JD Accounts payable = 16,000 JD Income taxes payable = 1300 JD End of the year Cash = 20,000 JD Accounts receivable = 19,000 JD Inventories = 55,000 JD Prepaid expenses = 7500 JD Accounts payable = 12,000 JD Income taxes payable = 1600 JD Cash flows from the operating activities using the indirect method equals Use the following information to 4 compute the cost of goods sold of a firm Current ratio 1.5:1 Acid test ratio 1.2.1 Current liabilities = 500,000 JD Inventory turn over 4 times = Cost of goods sold (2) 750,000 550,000 600,000 150,000