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The following unadjusted trial balance is prepared at fiscal year end for Nelson Company. Nelson company uses a perpetual inventury system. It categorizes the following

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The following unadjusted trial balance is prepared at fiscal year end for Nelson Company. Nelson company uses a perpetual inventury system. It categorizes the following accounts as selling expenses: depreciation expense-store equipment, sales salaries expense, rent expense-selling space, store supplies expense, advertising expense. It categorizes the remaining expenses as general and administrative. NELSON COMPANY Unadjusted Trial Balance January 31 Debit Credit Cash $ 3,350 Merchandise inventory 12,500 Store supplies 5,600 Prepaid insurance 2,600 Store equipment 42,800 Accumulated depreciation-Store equipment $ 17,200 Accounts payable 16,000 3. Nelson, Capital 15,000 3. Nelson, Withdrawals 2,050 Sales 115,150 Sales discounts 2,100 Sales returns and allowances 2,050 Cost of goods sold 38,000 Depreciation expense-Store equipment Sales salaries expense 13,150 office salaries expense 13,150 Insurance expense Rent expense-Selling space 8,500 Rent expense-Office Space 8,500 Store supplies expense 0 Advertising expense 9.000 Totals $163,350 $163,350 Additional Information: Additional Information: a. Store supplies still available at fiscal year-end amount (o $2,200. b. Expired insurance, an administrative expense, for the fiscal year is $1,550. c. Depreciation expense on store equipment, a selling expense, is $1,600 for the fiscal year. d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,300 of inventory is still available at fiscal year-end. Problem 5-5A Part 4 4. Compute the current rato, acid-test ratio, and gross margin ratio as of January 31. (Round your answers to 2 decimal places Current ratio Acid test ratio Gross margin ratio 1 1

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