Directions: Use the following ratio to complete Gerlie's Bread and Pastries Statement of Financial Position: a. Current ratio is 0.70. b. Acid-test ratio is 0.50. Gerlie's Bread and Pastries' incomplete Statement of Financial Position is given below: Cash P 45,000 P 109,800.00 Receivables 5. Total current liabilities Long term note payable Other long term liabilities Inventories 19,800.00 24,500.00 Prepaid Expenses Total Current Assets Baking Equipment Owner's capital 50,000.00 Other assets 60,000.00 Total assets 191,860.00 Total liabilities and equity 1. 2. 3. 4. 6.
Directions: Use the following ratio to complete Gerlie's Bread and Pastries Statement of Financial Position: a. Current ratio is 0.70. b. Acid-test ratio is 0.50. Gerlie's Bread and Pastries' incomplete Statement of Financial Position is given below: Cash P 45,000 P 109,800.00 Receivables 5. Total current liabilities Long term note payable Other long term liabilities Inventories 19,800.00 24,500.00 Prepaid Expenses Total Current Assets Baking Equipment Owner's capital 50,000.00 Other assets 60,000.00 Total assets 191,860.00 Total liabilities and equity 1. 2. 3. 4. 6.
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter8: Current And Contingent Liabilities
Section: Chapter Questions
Problem 33CE: Liquidity Ratios NWAs financial statements contain the following information: Note: Round answers to...
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use the following ratio to complete the statement of financial position . other details are seen in the attached photo.
Transcribed Image Text:Directions: Use the following ratio to complete Gerlie's Bread and Pastries
Statement of Financial Position:
a. Current ratio is 0.70.
b. Acid-test ratio is 0.50.
Gerlie's Bread and Pastries' incomplete Statement of Financial Position is given
below:
Cash
P 45,000
P 109,800.00
Receivables
5.
Total current liabilities
Long term note payable
Other long term
liabilities
Inventories
19,800.00
24,500.00
Prepaid Expenses
Total Current Assets
Baking Equipment
Owner's capital
50,000.00
Other assets
60,000.00
Total assets
191,860.00
Total liabilities and
equity
1.
2.
3.
4.
6.
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