Get solution this general accounting question not use ai The current ratio of a company is 6:1 and its acid-test ratio is 1:1. If the inventoriesand prepaid items amount to $503,000, what is the amount of current liabilities?Current Ratio:The current ratio is the ratio of current assets to current liabilities, which is one ofthe most widely used liquidity ratios. It helps the individual analyze the short-term liquidity of the company.

Formula:Current Ratio = Current Assets / Current LiabilitiesAcid-test Ratio (or Quick Ratio) =…

Answered: The current ratio of a company is 6:1…

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter24: Analysis Of Financial Statements

Section: Chapter Questions

Problem 1SEB

See similar textbooks

Similar questions

What is the amount of current liabilities?
Calculate the current ratio for each company. Be sure to show your calculations. Current Assets Current Liabilities Company 1 89,378 80,610 Company 2 90,114 19,310 Company 1: Company 2: Comment on the results: Which company has the strongest liquidity position?
Answer this financial accounting problem?
The current ratio: a. Is used to help assess a company's ability to pay its debts in the near future. b. Measures the effect of operating income on profit. c. Is used to measure the relationship between assets and long-term debt. d. Is used to measure a company's collection period.
calculate the quick assets (in $) and acid test ratio for the given company. round ratios to the nearest hundredth.
Find the following using the data bellow a. Accounts receivable B. Current assets C. Total assets D. Return on assets E. Common equity F. Quick ratio
Calculate the quick assets (in $) and acid test ratio for the given company. Round ratios to the nearest hundredth. Company Current Assets Current Liabilities Cash Marketable Securities Accounts Receivable Quick Assets Acid Test Ratio a personal electronics retail store $14,640 $19,600 $2,890 0 $4,430
Answer? ? Financial accounting
What is accounts payable turnover?a. Purchases on account divided by average accounts payableb. A measure of liquidityc. A measure of the number of times a year a company is able to pay its accounts payabled. All of the listed answers are correct.
What is the Days Payables Outstanding? Use the attached financial data to calculate the ratios. Round to the nearest decimal. Abercrombie & Fitch Co (ANF) Financial Data Revenues Cost of Sales Total Operating Expenses Interest Expense Income Tax Expense Diluted Weighted Shares Outstanding Cash + Equivalents Accounts Receivable Inventories Total Current Assets Total Assets Accounts Payable Total Current Liabilities Total Stockholders' Equity ANF Stock Price = $10.30 Select one O A. 42.3 days, 37.0 days OB. 76.1 days, 89.4 days OC. 89.4 days, 37.0 days OD. 76.1 days, 97.7 days 2022 $3,659.3 $1,545.9 $2,026.9 $28.5 $37.8 52.8 $257.3 $108.5 $742.0 $1,220.4 $2,694.0 $322.1 $935.5 $656.1 2021 $3,712.8 $1,400.8 $1,968.9 $34.1 $38.9 62.6 $823.1 $69.1 $525.9 $1,507.8 $2,939.5 $374.8 $1,015.2 $826.1
Calculate the quick assets (in $) and acid test ratio for the given company. Round ratios to the nearest hundredth.
Prepare the balance sheet and income statement by rearranging the above items. Note: Be sure to list the assets and liabilities in order of their liquidity. Enter all amounts as positive values. Cash Receivables Inventories BALANCE SHEET Assets Liabilities and Shareholders' Equity $ 15 Payables $ 35 35 Debt due for repayment 25 50 Total current assets $ 100 Total current liabilities $ 60 Property, plant, and equipment 520 Long-term debt Total liabilities 350 $ 410 Net fixed assets Total assets $ 520 Shareholders' equity 90 $ 620 Total liabilities and shareholders' equity $ 500

SEE MORE QUESTIONS

Recommended textbooks for you

College Accounting, Chapters 1-27

Accounting

ISBN:

9781337794756

Author:

HEINTZ, James A.

Publisher:

Cengage Learning,

College Accounting, Chapters 1-27

Accounting

ISBN:

9781337794756

Author:

HEINTZ, James A.

Publisher:

Cengage Learning,

SEE MORE TEXTBOOKS