What Amount of Current Liabilities Would Appear on the Statement

question 1

Multiple Choice

What amount of current liabilities would appear on the statement of financial position?

• A) $28,300.
• B) $15,300.
• C) $15,200.
• D) $55,200.

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Definitions:

Days' Sales In Inventory

A measure of how efficiently a company manages its inventory, calculated by dividing the inventory by the daily average cost of goods sold.

Inventory Turnover

A metric demonstrating the rate at which a business's inventory is sold and restocked over a designated span.

Cost Of Goods Sold

Cost of Goods Sold (COGS) represents the direct costs attributable to the production of the goods sold by a company, including materials and labor costs.

Receivables Turnover

A financial metric that measures how efficiently a company collects cash from its customers by dividing net credit sales by average accounts receivable.