Answered: Moe's Tavern Inc has current assets of…

Moe's Tavern Inc has current assets of $12,000 of which $4,000 is inventory and $2,000 in current liabilities What is its current ratio? Group of answer choices A. 6 B. 8 C. 10 D. 12

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Moe's Tavern Inc has current assets of $12,000 of which $4,000 is inventory and $2,000 in current liabilities.
What is its current ratio? Group of answer choices A. 6 B. 8 C. 10 D. 12

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A-7
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A7 please help....
1. What is the current Ratio assuming company A has the following data in its balance sheet? Current Asset of $3500,000 Current Liability of $3200,000 a) 1.09:1 b) 1.35:1 c) 0.9:1 d) 1:1.09 2. What is the current Ration assuming Company B has the following data in its balance sheet? Current Asset of $3,200,000 Currebt Liability of $3,500,000 a) 1:1.27 b) 1.09:1 c) 1:0.79 d) 0.91:1