Chan corp. wants to improve its cash ratio. It should:
purchase additional inventory for cash. |
||
sell accounts receivable to a collections agency. |
||
sell inventory on account. |
||
Sell marketable securities for cash. |
Chan corp. wants to improve its cash ratio. It should: purchase additional inventory for cash. sell...
Erastic Corporation has $30,000 in cash, $16,000 in marketable securities, $58,000 in account receivable, $72,000 in inventories, and $58,000 in current liabilities. The corporation’s current assets consist of cash, marketable securities, accounts receivable, and inventory. The corporation’s acid-test ratio is closest to: 1.00 1.52 1.79 3.03
Erastic Corporation has $17,000 in cash, $9,500 in marketable securities, $38,500 in account receivable, $46,000 in inventories, and $45,000 in current liabilities. The corporation’s current assets consist of cash, marketable securities, accounts receivable, and inventory. The corporation’s acid-test ratio is closest to: Multiple Choice 2.47 1.23 0.86 1.44
Rick's Retailer needs immediate cash to pay salaries and purchase additional merchandises. It decided to sell an Accounts Receivable balance for $150,000 to Joe Factor. Joe Factor will charge a service fee of 5%. Please prepare the Journal entry to record the cash Rick Retailer will receive from Joe Factor.
Denna Company’s working capital accounts at the beginning of the year follow: Cash $ 81,000 Marketable securities $ 24,400 Accounts receivable, net $ 376,400 Inventory $ 488,600 Prepaid expenses $ 15,700 Accounts payable $ 219,800 Notes due within one year $ 122,000 Accrued liabilities $ 69,900 During the year, Denna Company completed the following transactions: Ex. Paid a cash dividend previously declared, $41,000. Issued additional shares of common stock for cash, $222,000. Sold inventory costing $78,800 for $111,000, on account....
Selected amounts from Reingold Company’s balance sheet from the beginning of the year follow: Cash $ 79,000 Marketable Securities $ 16,500 Accounts receivable, net $ 371,600 Inventory $ 483,400 Prepaid expenses $ 14,300 Plant and equipment, net $ 1,040,000 Accounts payable $ 216,200 Accrued liabilities $ 68,100 Notes due within one year $ 118,000 Bonds payable in five years $ 149,000 During the year, the company completed the following transactions: x. Purchased inventory on account, $56,750. a. Declared a cash...
Selected amounts from Reingold Company's balance sheet from the beginning of the year follow: Cash Marketable Securities Accounts receivable. net Inventory Prepaid expenses Plant and equipment, net Accounts payable Accrued liabilities Notes due within one year Bonds payable in five years $ 57,000 $ 5,500 $ 318,800 $ 426,200 $ 5,400 $ 820,000 $ 176,600 $ 48,300 $ 74,000 $ 127,000 During the year, the company completed the following transactions X Purchased inventory on account, $40.250. a. Declared a cash...
CPR Corp, has a current ratio of 3.0 and would like to keep it at least 2.5. CPR also has total current assets of $126 million. CPR wants to purchase additional inventory for its upcoming busy season and plans to pay for the inventory with short-term debt. How much inventory can CPR purchase?
Selected amounts from Reingold Company's balance sheet from the beginning of the year follow $ 74,000 14,000 $ 359,600 $ 470,400 $ 10,800 $ 990,000 207,200 $63,600 108,000 $ 144,000 Cash Marketable Securities Accounts receivable, net Inventory Prepaid expenses Plant and equipment, net Accounts payable Accrued liabilities Notes due within one year Bonds payable in five years During the year, the company completed the following transactions: x. Purchased inventory on account, $53,000. a. Declared a cash dividend, $34,000. b. Paid...
Data from Fontecchio Corporation's most recent balance sheet appear below: Cash Marketable securities Accounts receivable Inventory Prepaid expenses Current liabilities $ 27,000 $ 31,000 $ 8,880 $ 69,000 $ 22,000 $176,000 The corporation's acid-test ratio is closest to:
Dennisport Corporation has an acid-test ratio of 1.6. It has current liabilities of $52,000 and noncurrent assets of $82,000. The corporation's current assets consist of cash, marketable securities, accounts receivable, prepaid expenses, and Inventory. If Dennisport's current ratio is 1.8, its inventory and prepaid expenses must be: Multiple Choice Ο $11,600 Ο $10.400 Ο $54,000 Ο S48,000