Calculate the Cash Ratio Given the Following Information: Current Ratio

question 204

Multiple Choice

Calculate the cash ratio given the following information: current ratio = 2; total current assets = $10,000; cash and cash equivalents = $1,250.

• A) 0.21
• B) 0.22
• C) 0.23
• D) 0.24
• E) 0.25

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Definitions:

Tubule

A small tube or tubular structure, especially in biological contexts, such as the renal tubules in kidneys.

Hemolymph

The fluid equivalent to blood in most invertebrates, occupying the interior of their bodies.

Malpighian Tubules

Excretory and osmoregulatory system components found in insects and other terrestrial arthropods.

Gut Wall

The lining of the gastrointestinal tract, characterized by layers of tissue that facilitate digestion and absorption of nutrients.