SJM's financial statements contain the following information: Cash $2,725,000 Marketable securities 1,725,000 Accounts receivable 3,050,000 Inventory 3,950,000 Accounts payable 3,275,000 Accrued expenses 1,700,000 Long-term debt 9,100,000 Cost of goods sold 4,250,000 Required: Assume the accounts payable balance is all trade payables and opening and closing balances are the same. Round your answers to two decimal places. 1. What is the current ratio? fill in the blank 1 2.30 2. What is the quick ratio? fill in the blank 2 1.51 3. What is the cash ratio? fill in the blank 3 0.89 4. What is the trade payable turnover ratio? fill in the blank 4
SJM's financial statements contain the following information: Cash $2,725,000 Marketable securities 1,725,000 Accounts receivable 3,050,000 Inventory 3,950,000 Accounts payable 3,275,000 Accrued expenses 1,700,000 Long-term debt 9,100,000 Cost of goods sold 4,250,000 Required: Assume the accounts payable balance is all trade payables and opening and closing balances are the same. Round your answers to two decimal places. 1. What is the current ratio? fill in the blank 1 2.30 2. What is the quick ratio? fill in the blank 2 1.51 3. What is the cash ratio? fill in the blank 3 0.89 4. What is the trade payable turnover ratio? fill in the blank 4
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter11: The Statement Of Cash Flows
Section: Chapter Questions
Problem 13MCQ
Related questions
Question
SJM's financial statements contain the following information:
Cash $2,725,000
Marketable securities 1,725,000
Accounts receivable 3,050,000
Inventory 3,950,000
Accounts payable 3,275,000
Accrued expenses 1,700,000
Long-term debt 9,100,000
Cost of goods sold 4,250,000
Required:
Assume the accounts payable balance is all trade payables and opening and closing balances are the same. Round your answers to two decimal places.
1. What is the current ratio ?
fill in the blank 1
2.30
2. What is the quick ratio?
fill in the blank 2
1.51
3. What is the cash ratio?
fill in the blank 3
0.89
4. What is the trade payable turnover ratio?
fill in the blank 4
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