Answered: Riverbank Electronics has a current…

Riverbank Electronics has a current ratio of 5:1 and an acid-test ratio of 2:1. If inventories and prepaid items amount to $480,000, what is the amount of current liabilities?

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter12: Fainancial Statement Analysis

Section: Chapter Questions

Problem 15MCQ: Hummel Inc. has $30,000 in current assets and $15,000 in current liabilities. What is Hummels...

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Question

What is the amount of current liabilities on these general accounting question?

Riverbank Electronics has a current ratio of 5:1
and an acid-test ratio of 2:1. If inventories and
prepaid items amount to $480,000, what is the
amount of current liabilities?

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