Answer each of the questions in the following unrelated situations. (a) The current ratio of a company is 6:1 and its acid-test ratio is 1:1. If the inventories and prepaid items amount to $548,000, what is the amount of current liabilities?
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Answer each of the questions in the following unrelated situations.
(a) The
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- Hummel Inc. has $30,000 in current assets and $15,000 in current liabilities. What is Hummels current ratio? a. 3 c. 1 b. 2 d. 0.5A company has current assets of $92,000 (of which $37,000 is inventory and prepaid items) and current liabilities of $37,000. What is the current ratio? What is the acid-test ratio? If the company borrows $17,000 cash from a bank on a 120-day loan, what will its current ratio be? What will the acid-test ratio be? Current Ratio enter the ratio rounded to 2 decimal places :1 Acid Test Ratio enter the ratio rounded to 2 decimal places :1 New Current Ratio enter the ratio rounded to 2 decimal places :1 New Acid Test Ratio enter the ratio rounded to 2 decimal places :1At year-end, Schultz, Inc. has cash of $11,600, current accounts receivable of $48,900, merchandise inventory of $37,900, and prepaid expenses totaling $5,100. Liabilities of $55,900 must be paid next year. What is Schultz’s acid-test ratio? a. 1.08 b. 0.21 c. 1.76 d. Cannot be determined from the data given
- Answer each of the questions in the following unrelated situations.(a) The current ratio of a company is 5:1 and its acid-test ratio is 1:1. If the inventories and prepaid items amount to $530,000, what is the amount of current liabilities? Current Liabilities $enter current liabilities in dollars (b) A company had an average inventory last year of $209,000 and its inventory turnover was 6. If sales volume and unit cost remain the same this year as last and inventory turnover is 8 this year, what will average inventory have to be during the current year? (Round answer to 0 decimal places, e.g. 125.) Average Inventory $enter the average inventory in dollars rounded to 0 decimal places (c) A company has current assets of $90,000 (of which $44,000 is inventory and prepaid items) and current liabilities of $44,000. What is the current ratio? What is the acid-test ratio? If the company borrows $14,000 cash from a bank on a 120-day loan, what will its current ratio…At year-end, Schultz, Inc. has cash of $11,600, current accounts receivable of $48,900, merchandise inventory of $37,900, and prepaid expenses totaling $5,100. Liabilities of $55,900 must be paid next year. What is Schultz’s acid-test ratio? 1.08 0.21 1.76 Cannot be determined from the data given</p> </div>What is the current ratio if a company's short-term asset balance is $367,597 and short-term liability balance is $25,500?
- Answer each of the questions in the following unrelated situations.(a) The current ratio of a company is 5:1 and its acid-test ratio is 1:1. If the inventories and prepaid items amount to $500,000, what is the amount of current liabilities?(b) A company had an average inventory last year of $200,000 and its inventory turnover was 5. If sales volume and unit cost remain the same this year as last and inventory turnover is 8 this year, what will average inventory have to be during the current year?(c) A company has current assets of $90,000 (of which $40,000 is inventory and prepaid items) and current liabilities of $40,000. What is the current ratio? What is the acid-test ratio? If the company borrows $15,000 cash from a bank on a 120-day loan, what will its current ratio be? What will the acid-test ratio be?(d) A company has current assets of $600,000 and current liabilities of $240,000. The board of directors declares a cash dividend of $180,000. What is the current ratio after the…Watkins Inc. has the following assets at the end of Year One: Cash, $400; Inventory, $730; Prepaid Rent, $460; Equipment (net book value), $4,000. Watkins also has the following liabilities at the end of Year One: Accounts Payable, $560; Rent Payable, $200; Note Payable, due on June 1, Year Four, $3,500. At the end of Year One, what is Watkins’s current ratio? Responses 1.49 to 1.0 1.31 to 1.0 2.09 to 1.0 1.14 to 1.00On a worksheet, the Income Statement debit column equals P798,000 and the credit columnequals P710,000. Which of the following statements is correct? a. The company realized a net income of P88,000 and it must be added to the Income Statementcredit column and the Balance Sheet debit column to complete the worksheet.b. The company incurred a net loss of P88,000 and it must be subtracted from the Income Statementdebit column and the Balance Sheet credit column to complete the worksheet.c. The company incurred a net loss of P88,000 and it must be added to the Income Statement creditcolumn and the Balance Sheet debit column to complete the worksheetd. The company realized a net income of P88,000 and it must be subtracted from the IncomeStatement credit column and the Balance Sheet credit column to complete the worksheet.
- c) A company has current assets of $92,000 (of which $37,000 is inventory and prepaid items) and current liabilities of $37,000. What is the current ratio? What is the acid-test ratio? If the company borrows $14,000 cash from a bank on a 120-day loan, what will its current ratio be? What will the acid-test ratio be? (Round answers to 2 decimal places, e.g. 2.50.) Current Ratio enter the ratio rounded to 2 decimal places :1 Acid Test Ratio enter the ratio rounded to 2 decimal places :1 New Current Ratio enter the ratio rounded to 2 decimal places :1 New Acid Test Ratio enter the ratio rounded to 2 decimal placesAce Industries has current assets equal to $4 million. The company's current ratio is 2.0, and its quick ratio is 1.7. What is the firm's level of current liabilities? What is the firm's level of inventories? Do not round intermediate calculations. Round your answers to the nearest dollar. Current Liabilities $ Inventory $Titan Rental Company had depreciation expenses of $110,707, interest expenses of $99,551, and an EBIT of $1,525,829 for the year ended July 30, 2022. What are the times interest-earned and cash coverage ratios for this company? (Round answers to 1 decimal place, e.g.12.5.)