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Corporate Fin Focused Approach

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter3: Analysis Of Financial Statements

Section: Chapter Questions

Problem 8P

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Question

You are evaluating the balance sheet for SophieLex's Corporation. From the
balance sheet you find the following balances: cash and marketable securities =
$490,000; accounts receivable = $1,020,000; inventory = $1,920,000; accrued
wages and taxes = $410,000; accounts payable = $710,000; and notes payable =
$420,000.
Calculate SophieLex's current ratio, quick ratio, and cash ratio.
Note: Round your answers to 2 decimal places.
Current ratio
Quick ratio
Cash ratio
times
times
times

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