Use the following balance sheet and income statement information to calculate the current ratio.. Current assets          $  8,000       Net income              $  9,000 Current liabilities           4,000       Stockholders equity    27,000 Average assets           40,000       Total liabilities              5,000 Total assets                30,000 Average common shares outstanding was 10,000 Group of answer choices 1.4:1   0.57:1   2:1   1.75:1

Cornerstones of Financial Accounting
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ISBN:9781337690881
Author:Jay Rich, Jeff Jones
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Chapter10: Stockholder's Equity
Section: Chapter Questions
Problem 79E: Ratio Analysis MJO Inc. has the following stockholders equity section of the balance sheet: On the...
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Use the following balance sheet and income statement information to calculate the current ratio..

Current assets          $  8,000       Net income              $  9,000
Current liabilities           4,000       Stockholders equity    27,000
Average assets           40,000       Total liabilities              5,000
Total assets                30,000
Average common shares outstanding was 10,000

Group of answer choices
1.4:1
 
0.57:1
 
2:1
 
1.75:1
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