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Q4.19: A classified balance sheet showed the following amounts: cash $5,000; short-term investments $2,000; equity investment $3,000; accounts receivable $3,000; prepaid expenses $1,000; and goodwill

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Q4.19: A classified balance sheet showed the following amounts: cash $5,000; short-term investments $2,000; equity investment $3,000; accounts receivable $3,000; prepaid expenses $1,000; and goodwill $2,000. If current liabilities were $4,000, what would be the acid-test ratio? A 2.00 B 2.50 2.75 D 4.00

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