Ferrari Enterprises has the following balance sheet data: Item Amount Cash on hand $470,000 Market securities $48,000 Net accounts and notes receivable $135,000 Inventories $585,000 Prepaid expenses $63,500 Accounts and notes payable (short term) $795,000 Accumulated liabilities Required: $125,000 What are Ferrari Enterprises' current ratio and acid-test ratio, rounded to two decimal places?

Ferrari Enterprises has the following balance sheet data: Item Amount Cash on hand $470,000 Market securities $48,000 Net accounts and notes receivable $135,000 Inventories $585,000 Prepaid expenses $63,500 Accounts and notes payable (short term) $795,000 Accumulated liabilities Required: $125,000 What are Ferrari Enterprises' current ratio and acid-test ratio, rounded to two decimal places?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter4: The Balance Sheet And The Statement Of Shareholders' Equity

Section: Chapter Questions

Problem 16P: Ratios Analyses: McCormick Refer to the information for McCormick above. Additional information for...

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