410 81 297 $ 552 2008 2009 2008 2009 1,490 1,520 520 771 3,230 3,620 $5,790 $6,0

Question

410     

81     

297     

$ 552     

2008

2009

2008

2009

1,490     

1,520      

  520     

771    

3,230     

3,620      

$5,790     

$6,060      

$5,790    

$6,060    

What is the quick ratio for 2009?

2.14

.81

2.31

.96

1.33

Galaxy United, Inc.
2009 Income Statement
($ in millions)   Net sales $8,500        Less: Cost of goods sold 7,160        Less: Depreciation

410     

  Earnings before interest and taxes 930        Less: Interest paid

81     

  Taxable Income 849        Less: Taxes

297     

  Net income

$ 552     

Explanation / Answer

Quick ratio = (Cash + Marketable Securities + Accounts Receivable) / Current Liabilities

= (140 + 0 + 780) / 1,140

= 0.81

Related Questions

Navigate

• Browse (All)
• Browse 4
• Subjects

---

---

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