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SDJ, Inc, has net working capital of $2.310, current liabilities of $5,450, and inventory of $1,225. What is the current rati
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Answer #1

Current Assets = Net Working Capital + Current Liabilities

= $2,310 + $5,450 = $7,760

Current Ratio = Current Assets / Current Liabilities

= $7,760 / $5,450 = 1.42

Quick Ratio = [Current Assets - Inventory] / Current Liabillities

= [$7,760 - $1,225] / $5,450 = 1.20

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