SJM's financial statements contain the following information: Cash $2,725,000 Marketable securities 1,725,000 Accounts receivable 3,050,000 Inventory 3,950,000 Accounts payable 3,275,000 Accrued expenses 1,700,000 Long-term debt 9,100,000 Cost of goods sold 4,250,000 Required: Assume the accounts payable balance is all trade payables and opening and closing balances are the same. Round your answers to two decimal places. 1. What is the current ratio?fill in the blank 1 2. What is the quick ratio?fill in the blank 2 3. What is the cash ratio?
SJM's financial statements contain the following information: Cash $2,725,000 Marketable securities 1,725,000 Accounts receivable 3,050,000 Inventory 3,950,000 Accounts payable 3,275,000 Accrued expenses 1,700,000 Long-term debt 9,100,000 Cost of goods sold 4,250,000 Required: Assume the accounts payable balance is all trade payables and opening and closing balances are the same. Round your answers to two decimal places. 1. What is the current ratio?fill in the blank 1 2. What is the quick ratio?fill in the blank 2 3. What is the cash ratio?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
SJM's financial statements contain the following information:
| Cash | $2,725,000 |
| Marketable securities | 1,725,000 |
| 3,050,000 | |
| Inventory | 3,950,000 |
| Accounts payable | 3,275,000 |
| Accrued expenses | 1,700,000 |
| Long-term debt | 9,100,000 |
| Cost of goods sold | 4,250,000 |
Required:
Assume the accounts payable
1. What is the
fill in the blank 1
2. What is the quick ratio?
fill in the blank 2
3. What is the cash ratio?
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