Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The data of Franklin Brothers Corp. for two years are given below : 2014 2015 Cash and cash equivalents $5,400 $12,500 Total current liabilities 24,000

The data of Franklin Brothers Corp. for two years are given below :

2014 2015
Cash and cash equivalents

$5,400

$12,500

Total current liabilities 24,000 30,000

Based on the above information,which of the following statements is true ?

a)Cash ratio has increased fromm 0.417 in 2014 to 0.225 in 2015.

b)Cash ratio has increased from 0.225 in 2014 to 0.417 in 2015.

c)Cash ratio has increased from 0.05 in 2014 to 0.08 in 2015.

d)Cash ratio has increased from 0.02 in 2014 to 0.03 in 2015.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Assurance Risk And Governance

Authors: Michael Büchling

1st Edition

1485131618, 9781485131618

More Books

Students also viewed these Accounting questions

Question

LO 7-3 How do the two halves of the brain operate interdependently?

Answered: 1 week ago