Assume that for the 2017 fiscal year, AstroCo reported sales revenue of $3.0 billion and cost of goods sold of $1.7 billion. Fiscal Year Balance Sheet (in millions) Cash Accounts Receivable, less allowance of $15 and $15 Inventories Prepaid Expenses Other Current Assets. Accounts Payable Wages Payable Income Tax Payable Other Current Liabilities 2017 2016 Current ratio $82 $ 52 460 416 252 230 30 15 416 85 50 15 222 357 67 72 70 211 Assuming that all sales are on credit. Required: 1. Compute the current ratio for 2017. (Round your answer to 2 decimal places.)
Assume that for the 2017 fiscal year, AstroCo reported sales revenue of $3.0 billion and cost of goods sold of $1.7 billion. Fiscal Year Balance Sheet (in millions) Cash Accounts Receivable, less allowance of $15 and $15 Inventories Prepaid Expenses Other Current Assets. Accounts Payable Wages Payable Income Tax Payable Other Current Liabilities 2017 2016 Current ratio $82 $ 52 460 416 252 230 30 15 416 85 50 15 222 357 67 72 70 211 Assuming that all sales are on credit. Required: 1. Compute the current ratio for 2017. (Round your answer to 2 decimal places.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Assume that for the 2017 fiscal year, AstroCo reported sales revenue of $3.0 billion and cost of goods sold of $1.7 billion.
Fiscal Year
Balance Sheet (in millions)
Cash
Accounts Receivable, less allowance of $15 and $15
Inventories
Prepaid Expenses
Other Current Assets.
Accounts Payable
Wages Payable
Income Tax Payable
Other Current Liabilities.
2017 2016
Current ratio
$ 82 $ 52
460 416
252
230
30
15
416
85
50
15
222
357
67
72
70
211
Assuming that all sales are on credit.
Required:
1. Compute the current ratio for 2017. (Round your answer to 2 decimal places.)
Transcribed Image Text:2. Compute the inventory turnover ratio and accounts receivable turnover ratio for 2017. (Round your answers to 2 decimal place.)
Inventory turnover
Accounts receivable turnover
3. Not available in Connect.
times
times:
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