QUESTION 1 You are given the following information. Calculate Total Assets, Cash and equivalents is $70 accounts receivable are $94 Inventory is $65 not fixed assets is $333 accounts payable is $10 accruals are $38 notes payable are $89 long term debt is $90 QUESTION 2 In April 2013, Apple had a quick ratio of 1.50 and a current ratio of 1.89. In April 2013, Dell had a quick ratio of 1.81 and a current ratio of 1.91. What can you say about the asset liquidity of Apple relative to Dell? Apple has a greater current ratio and therefore is more liquid Apple has a smaller current ratio and therefore is less liquid Apple has a greater current ratio and therefore is less liquid Apple has a smaller current ratio and therefore is more liquid QUESTION 3 Which of the following is true regarding the quick ratio Includes inventory in current assets A lower ratio means greater liquidity The quick ratio should be lower than the current ratio if a firm holds positive levels of inventory All are true None of the above QUESTION 4 Did you ensure that the number of decimals on your calculator is set to 47 (select 'True' to continue your exam) To change the number of decimal places press (2nd) (.) 14 [ENTER] O True False Use the following information to solve for ROE. Your answer should be entered as a percent. For example 7.31% should be entered as 7.31. Include two decimals and a negative if appropriate Current Assets are $86, net fixed assets are $132, total common equity is $151 Revenue is $143, total operating expenses are $97, depreciation expense is $43 Interest expense is $45 and taxes are $25 QUESTION 6 10 Kenny Rogers Roasters recently reported $92,560 in Cash, $878,000 in Accounts Receivable, $1,716,000 in Inventory, $205,000 in Notes Payable, $116,960 in depreciation, and $981,400 in Current Liabilities. Calculate the Current Ratio for Kenny Rogers Roasters? (round to two decimals) 03.07 2.74 2.85 None of the above O 0.35