Use the following info to answer questions 44-46: Acct payable $30,000, Accts re

Question

Use the following info to answer questions 44-46: Acct payable $30,000, Accts receivable $65,000, Accrued liabilities $7,000, Cash $25,000, iNTANGIBLE ASSETS $40,000, Inventory $72,000, Long-term investments $100,000, Long-term liabilities $75,000, Marketable securities $36,000, Notes payable (short-term) $20,000, Property, plant, and equipment $625,000, Prepaid expenses $2,000 44. Based on the above data, what is the amount of quick assets? a. $198k, b3$126k, c. $90k, d. $61k 45. Based on the above data, what is the amount of working capital? a. $243k, b. $143k, c. $183k, d. $69k 46. Based on the above data, what is the quick ratio, rounded to one decimal point? a. 2.2, b. 3.5, c. 3.0, d. 1.6

Explanation / Answer

Please rate this answer as i am not getting points unless you rate this.Thanks in advance Given to find Quick Assets,Working Capital,Quick ratio Calculation of quick Assets. Quick Assets = Current Assets - (Stock +Prepaid Expenses+Debtors) = $25,000 + $36,000 = $61,000 Working Capital = ( Current Assets - Current Liabilities ) = ($65,000+$25,000+$72,000+$36,000+$2,000) - ($30,000 + $7,000+$20,0000) = $2,00,000 - $57,000 = $1,43,000 Quick Ratio = Quick Assets / Liquid liabilities = $61,000 / ($57,000 - $30,000) = $61,000/$27,000 = 2.2 The answers are as follows 44) d 45) b 46) a

Related Questions

Navigate

• Browse (All)
• Browse U
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.