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Which of the following statements are true? Check all that apply. please answer the multiple choice N&B Equipment Company $0 675 $675 Balance Sheet December
Which of the following statements are true? Check all that apply.
please answer the multiple choice
N&B Equipment Company $0 675 $675 Balance Sheet December 3 (Millions of dollars) Jing NAB Jing Foodstuffs Equipment Foodstuffs Corporation Company Corporation Assets Liabilities Current Current assets liabilities Cash $574 $369 Accounts $0 payable Accounts 210 135 Accruals 127 receivable Inventories 616 396 Notes 717 payable Total $1,400 $900 Total $844 current current assets liabilities Net fixed Long-term 1,031 assets bonds Net plant 1,100 1,100 Total debt $1,875 and equipment Common equity Common $406 stock Retained 219 earnings Total $625 common equity Total $2,500 $2,000 Total $2,500 assets liabilities and equity 825 $1,500 $325 175 $500 $2,000 N&B Equipment Company's current ratio is 1.3333 Foodstuffs Corporation's current ratio is 1.6588 your values to four decimal places. , and its quick ratio is 0.7467 , and its quick ratio is 0.9289 ; Jing . Note: Round Which of the following statements are true? Check all that apply. Ding Foodstuffs Corporation has a better ability to meet its short-term liabilities than N&B Equipment Company. If a company's current liabilities are increasing faster than its current assets, the company's liquidity position is weakening. An increase in the quick ratio over time usually means that the company's liquidity position is improving and that the company is managing its short-term assets well. Compared to N&B Equipment Company, Ding Foodstuffs Corporation has less liquidity and a lower reliance on outside cash flow to finance its short-term obligations. An increase in the current ratio over time always means that the company's liquidity position is improvingStep by Step Solution
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