Current Position Analysis The following items are reported on a company's balance sheet: Cash $537,500 Marketable securities 419,900 Accounts receivable (net) 334,600 Inventory 387,600 Accounts payable 646,000 Determine (a) the current ratio and (b) the quick ratio. Round your answers to one decimal place. a. Current ratio fill in the blank 1 b. Quick ratio
Current Position Analysis The following items are reported on a company's balance sheet: Cash $537,500 Marketable securities 419,900 Accounts receivable (net) 334,600 Inventory 387,600 Accounts payable 646,000 Determine (a) the current ratio and (b) the quick ratio. Round your answers to one decimal place. a. Current ratio fill in the blank 1 b. Quick ratio
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Current Position Analysis
The following items are reported on a company's
| Cash | $537,500 |
| Marketable securities | 419,900 |
| 334,600 | |
| Inventory | 387,600 |
| Accounts payable | 646,000 |
Determine (a) the
| a. Current ratio | fill in the blank 1 |
| b. Quick ratio |
Expert Solution
Step 1
Ratio analysis means where different ratio of various years of years companies has been compared and results are interpreted to make effective decision regarding future course of action.
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