Cash R10 000 Accounts receivable(debtors control) R30 000 Inventory R80 000 Prepaid insurance R 6 000 Fixed assets R200 000 Accounts payable (creditors control) R30 000 Income received in advance R25 000 Wages payables R5 000 Long-term liabilities R70 000 Capital R196 000 Calculate the current ratio.
Cash R10 000 Accounts receivable(debtors control) R30 000 Inventory R80 000 Prepaid insurance R 6 000 Fixed assets R200 000 Accounts payable (creditors control) R30 000 Income received in advance R25 000 Wages payables R5 000 Long-term liabilities R70 000 Capital R196 000 Calculate the current ratio.
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter14: Statement Of Cash Flows
Section: Chapter Questions
Problem 35E: Jarem Company showed 189,000 in prepaid rent on December 31, 20X1. On December 31, 20X2, the balance...
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information to answer question 4.
Cash |
R10 000 |
|
R30 000 |
Inventory |
R80 000 |
Prepaid insurance |
R 6 000 |
Fixed assets |
R200 000 |
Accounts payable (creditors control) |
R30 000 |
Income received in advance |
R25 000 |
Wages payables |
R5 000 |
Long-term liabilities |
R70 000 |
Capital |
R196 000 |
Calculate the
- A.
2:1
- B.
1.0:1
- C.
2.1:1
- D. None of the above
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