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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

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

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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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
Transcribed Image Text: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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