Calculate the acid-test ration for Dlamini & Sons. State of financial position for Dlamini & Sons for the year ended 28 February 2019.ASSETSEQUITY AND LIABILITIESNon-current assests1370 000,00 Shareholder's capitalAuthorised and issued-ordinary shareLand and buidlings (cost price)Plant and equipment (costprice350 000,00(150000@ R2 each)300 000,001 800 000,00Distributive reservesLessCapital reserves450 000,00Accumulated depreciation780 000,00 1020 000,00Undistributed profitsOwner's equityPreference share capital165 000,00615 000,00915 000,00Other assests40 000,00InvestmentsShareholders interest955 000,00Long term assets1370000,00 Non-current liabilitiesDebentures100 000,00Current assets336 S00,00 Total lang term labilities055000,00Cash112 000,00Marketable securities36 000,00Current liabilities651500,00Debtors (net)105 000,00Trade credit515 000,00Inventory67 000,00Bank overdraft86 000,00Pre-paid expenses16500 00Arrearexpense,50 500,00TOTAL ASSETS1706500,00 TOTAL EQUITY AND LIABILITIES1706 500,00 Dlamini & Sons is a manufacturing company in the Limpopo province. Their factory manufactures750 ml glass bottles and is one of Coca Cola South Africa's regional suppliers. Their statement offinancial position is provided hereunder.20182019Sales price per unitR9R10Variable cost per unitR3R5Fixed cost (FC) per annumR785 000R890 500Fixed cost per unitR3R4State of financial position for Dlamini & Sons for the year ended 28 February 2019.ASSETSREQUITY AND LIABILITIESNon-current assests1370 000,00 Shareholder's capitalAuthorised and issued - ordinary share(150000 @ R2 each)300 000,00Land and buidlings (cost price)Plant and equipment (costprice)350 000,001800 000,00Distributive reservesCapital reservesUndistributed profits450 000,00165 000,00Less615 000,00Accumulated depreciation780 000,00 1020 000,00

Cash- 112,000,00 Marketable Securities- 36,000,00 Accounts Receivables (Debtors)- 105,000,00 Current…

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Calculate the acid-test ration for Dlamini & Sons.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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