The accounts and balances that follow are from the general ledger of
Fields Company. Compute the
(1) Working capital and
(2) Current ratio.
Accounts Payable .......................... $13,280
Accounts Receivable ......................... 8,160
Cash ............................................ $ 1,200
Current Portion of Long-Term Debt ......... 8,000
Long-Term Investments ...................... 8,320
Marketable Securities ......................... 10,080
Merchandise Inventory ....................... 20,320
Notes Payable (90 days) ...................... 12,000
Notes Payable (2 years) ...................... 16,000
Notes Receivable (90 days) ................. 20,800
Notes Receivable (2 years) .................... 8,000
Prepaid Insurance ................................ 320
Property, Plant, and Equipment ............. 48,000
Property Taxes Payable ....................... 1,000
T. Fields, Capital ............................. 22,640
Salaries Payable .................................. 680
Supplies ............................................ 280
Unearned Revenue ............................... 600