The Top Part of Rammy's Inc What Are Mars, Inc

question 72

Multiple Choice

The top part of Rammy's Inc.'s 2018 balance sheet is listed as follows (in millions of dollars) .
$$\begin{array} { l r l l r } \text { Current assets: } & & \text { Curreat liabilities: } & \\\text { Cash ard marketable securities } & \$ 5 & \text { Accrued wages and taxes } & \$6\\\text { Accounts receivable } & 15 & \text { Accounts payable } & 10 \\\text { Irventory } & 95 & \text { Notes payable } & 50 \\\text { Total } & \$ 115 & \text { Total } & \$ 66\end{array}$$
What are Mars, Inc.'s current ratio, quick ratio, and cash ratio for 2018?

• A) 1.74242, 0.30303, 0.07576
• B) 7.1875, 1.25, 0.3125
• C) 1.43939, 0.30303, 0.07576
• D) 19.16667, 3.33333, 0.83333

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Definitions:

Clear-Cut

Unambiguous or obvious, often used to describe decisions or distinctions that are straightforward and easily discerned.

Malaysian Palm Oil

A significant commodity export from Malaysia, palm oil is a vegetable oil obtained from the fruit of the African oil palm tree and is used in food, cosmetics, and biofuel.

Translation Statement

A financial statement that converts the figures from a foreign subsidiary's local currency into the parent company's reporting currency.

Issued Capital

Issued capital refers to the total value of a company's shares that have been issued to shareholders. This capital is a portion of the authorized share capital that the company has decided to sell.