What is the 2019 cash ratio? (Round your answer to two decimal places)
The financial statements of Denison Furniture Company include the following items:
A) 0.21
B) 0.11
C) 0.38
D) 0.26
D) 0.26
Cash ratio = (Cash + Cash equivalents) / Total current liabilities
Cash ratio - $60,500 / $233,000
Cash ratio = 0.26
You might also like to view...
Which distribution function of wholesalers and retailers involves acquiring data regarding consumer purchases, including the frequency of purchases, the amount spent on items, and product preferences?
A. Gathering assortments of goods B. Facilitating transactions and customer support C. Matching buyers and sellers D. Providing promotional and sales support E. Providing market information
Most firms prefer to prepare the statement of cash flows after they have prepared the income statement and the balance sheet. In the preparation of the T-account work sheet, an error
a. often results from the partial recording of a transaction in which debits do not equal credits. b. usually becomes evident only on completion of the work sheet. c. requires the preparer to retrace each of the entries to discover the source of the error. d. all of the above. e. none of the above
Using the straight-line depreciation method will cause a company to incur ____ tax expense in the early years of an asset's life than they would experience using an accelerated method of depreciation
A) more B) less C) equal D) no
Alan's Chairs has current assets of $138,000 and current liabilities of $102,750. Find the current ratio. (Round to the nearest hundredth)
A) 59:1 B) 1.62:1 C) 1.34:1 D) .74:1