Question

Balance Sheet Current assets Cash 1,010,000 Acc receivable not given Inventories 1,150,000 Fixed assets 4,100,000 TOTAL...

Balance Sheet
Current assets
Cash 1,010,000
Acc receivable not given
Inventories 1,150,000
Fixed assets 4,100,000
TOTAL ASSETS 7,200,000

Current liabilities
Acc payable not given
Long-term debt 2,900,000
Common stock 1,010,000
Retained earnings 2,830,000
TOTAL LIAB and EQUITY 7,200,000

Income Statement
Sales 21,600,000
Operating expense 18,140,000
EBIT 3,460,000
Interest expense 348,000
EBT 3,112,000
Taxes 1,245,000
Net income 1,867,000

What is the firm's quick ratio?

0.58

6.74

4.70

4.24

0.92
Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Quick ratio = Quick assets / Current Liabilities

Current Liabilities = Accounts payable

Accounts payable = Total Liabilities & Equity - Long term debt - common stock - retained earnings

Accounts payable = $7,200,000 - $2,900,000 - $1,010,000 - $2,830,000 = $460,000

Accounts receivable = Total Assets - Cash - Inventories - Fixed assets

Accounts receivable = $7,200,000 - $1,010,000 - $1,150,000 - $4,100,000 = $940,000

Quick Assets = Cash + Accounts receivable = $1,010,000 + $940,000 = $1,950,000

Quick ratio = $1,950,000 / $460,000

Quick ratio = 4.24

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Balance Sheet Current assets Cash 1,100,000 Acc receivable not given Inventories 1,390,000 Fixed assets 4,160,000 TOTAL...
Balance Sheet Current assets Cash 1,100,000 Acc receivable not given Inventories 1,390,000 Fixed assets 4,160,000 TOTAL ASSETS 7,300,000 Current liabilities Acc payable not given Long-term debt 2,200,000 Common stock 800,000 Retained earnings 3,100,000 TOTAL LIAB and EQUITY 7,300,000 Income Statement Sales 14,600,000 Operating expense 12,410,000 EBIT 2,190,000 Interest expense 242,000 EBT 1,948,000 Taxes 779,000 Net income 1,169,000 What is the firm's quick ratio? What is the firm's quick ratio? A.0.92 B.2.62 C.2.08 D.0.51 E.1.46
Balance Sheet Current assets Cash 910,000 Acc receivable not given Inventories 1,050,000 Fixed assets 3,710,000 TOTAL...
Balance Sheet Current assets Cash 910,000 Acc receivable not given Inventories 1,050,000 Fixed assets 3,710,000 TOTAL ASSETS 7,000,000 Current liabilities Acc payable not given Long-term debt 3,500,000 Common stock 560,000 Retained earnings 2,470,000 TOTAL LIAB and EQUITY 7,000,000 Income Statement Sales 14,000,000 Operating expense 11,200,000 EBIT 2,800,000 Interest expense 490,000 EBT 2,310,000 Taxes 924,000 Net income 1,386,000 What is the firm's debt ratio? A.56.71% B.50.00% C.43.29% D.93.29% E.92.00% please help
Balance Sheet: Cash $       20 A/R 1,000 Inventories     2,000 Total current assets $ 3,020 Net...
Balance Sheet: Cash $       20 A/R 1,000 Inventories     2,000 Total current assets $ 3,020 Net fixed assets     2,980 Total assets $ 6,000 Income Statement: Sales $10,000 Cost of goods sold     9,000 EBIT $ 1,000 Interest (10%)        600 EBT $     400 Taxes (40%)        160 Net Income $     240 The industry average DSO is 18 (360-day basis). Collins plans to change its credit policy so as to cause its DSO to equal the industry average, and this...
Testable Corp Cash 1,080 Receivables 6,480 Inventories 9,000 Total Current Assets 16,560 Net Fixed Assets 12,600...
Testable Corp Cash 1,080 Receivables 6,480 Inventories 9,000 Total Current Assets 16,560 Net Fixed Assets 12,600 Total Assets 29,160 Accounts Payable 4,320 Accruals 2,880 Notes Payable 2,100 Total Current Liabilities 9,300 Long Term Debt 3,500 Common Stock 3,500 Retained Earnings 12,860 Total Liabilities and Equity 29,160 Sales 36,000 Operating Costs 32,440 Interest 460 Taxes 1,240 Net Income 1,860 Dividends 837 Shares Outstanding   3,500 Share Price                   $8.45 Information for Problem 5. Calculate the following for Testable Corp. Cash Conversion Cycle (Cash...
Balance Sheet Assets: 12/31/19 Current Assets: Cash $               3,000.00 Accounts Receivable             &nb
Balance Sheet Assets: 12/31/19 Current Assets: Cash $               3,000.00 Accounts Receivable                    1,250.00 Prepaid Expenses $                    100.00 Total Current Assets $               4,350.00 Non-Current Assets: Property, Plant, and Equipment Land $            10,000.00 Buildings                 25,000.00 Equipment                 15,000.00 Accumulated Depreciation $          (12,000.00) Total Property, Plant, and Equipment $            38,000.00 Total Assets $            42,350.00 Liabilities: Current Liabilities Accounts Payable $                    100.00 Accrued Expense                         150.00 Salary and Wages Payable                                      -   Notes Payable                                      -   Unearned Revenue $               1,500.00 Total Liabilities $              ...
Balance Sheets: 2018 2017 Assets Cash and equivalents $100   $85   Accounts receivable 275   300   Inventories 375  ...
Balance Sheets: 2018 2017 Assets Cash and equivalents $100   $85   Accounts receivable 275   300   Inventories 375   250         Total current assets $750   $635   Net plant and equipment 2,300   1,490   Total assets $3,050   $2,125   Liabilities and Equity Accounts payable $150   $85   Accruals 75   50   Notes payable 150   75         Total current liabilities $375   $210   Long-term debt 450   290         Total liabilities $825   $500   Common stock 1,225   1,225   Retained earnings 1,000   400         Total common equity $2,225   $1,625   Total liabilities and equity $3,050   $2,125   Income Statements:...
Information from Gre Company's balance sheet follows Current Assets      Cash $2,100,000      Marketable Securities 7,200,000...
Information from Gre Company's balance sheet follows Current Assets      Cash $2,100,000      Marketable Securities 7,200,000      Accounts Receivable 50,500,000      Inventories 65,000,000      Prepaid expenses 1,000,000                Total current assets $125,800,000 Current Liabilities      Notes payable $1,400,000      Accounts payable 18,000,000      Accrued expenses 11,000,000      Income taxes payable 600,000      Current portion of long-term debt 3,000,000                Total current liabilities $34,000,000 What is the acid-test ratio for Greg Company? Select one: a. 1.60 b. 1.76 c. 2.20 d....
finance question Given this COM Co's. Balance Sheet at 31/12/2018 Assets Liabilities Cash 65000 Account payable...
finance question Given this COM Co's. Balance Sheet at 31/12/2018 Assets Liabilities Cash 65000 Account payable Mar/sec 30000 Notes payable 8000 Acc/rec 180000 Interest payable 4800 inventory accurals 4200 Total C/A Total C/L Gross fixed assets Long term debt Less Acc/Dep 25000 common stock 115000 Net fixed assets Retaine earning 125000 Total assets Total liabilities and eq Another data were provided about the company during 2018 Sales = $1,840,00.0 ; Gross profit margin = 30.0%; Inventory Turn-Over = 8.0 times;...
The balance sheet and income statement shown below are for Big D Café: Balance Sheet (millions...
The balance sheet and income statement shown below are for Big D Café: Balance Sheet (millions of $) Assets Cash and securities                                                          2,500 Accounts receivable                                                        11,500 Inventories                                                                        16,000 Total current assets                                                        30,000 Net plant and equipment                                             20,000 Total assets 50,000 Liabilities and Equity Accounts payable                                                             9,500 Notes payable                                                                   7,000 Accruals                                                                               5,500 Total current liabilities                                                    22,000 Long-term debt                                                                15,000 Total liabilities                                                                   37,000 Common stock                                                                  2,000 Retained earnings                                                            11,000 Total common equity                                                     13,000 Total liabilities and equity                                            50,000 Income Statement (millions of $) Sales                                                                                      87,500 Operating costs except...
Coca-Cola Company Balance Sheet December 31 (Amounts in Millions) 2010 2009 Assets Current assets Cash and...
Coca-Cola Company Balance Sheet December 31 (Amounts in Millions) 2010 2009 Assets Current assets Cash and cash equivalent $ 11,199 $ 9,151 Marketable securities 138 62 Account receivable 4,430 3,758 Merchandise inventory 2,650 2,354 Other current assets 3,162 2,226 Non-current assets Long term investments 9,706 8,731 Property, Plant and equipment 14,727 9,561 Intangible assets 26,909 12,828 Total assets 72,921 48,671 Current liabilities Accounts payable and accrued liabilities $ 8,859 $ 6,657 Loans and notes payables 8,100 6,749 Other liabilities 1,549...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT