Presented Below Is Information Available for Norton Company Total Current Liabilities Are $120,000

question 63

Multiple Choice

Presented below is information available for Norton Company. $$\begin{array}{l}\text { Current Assets }\\\begin{array} { l r } \text { Cash } & \$ 4,000 \\\text { Short-term investments } & 75,000 \\\text { Accounts receivable } & 61,000 \\\text { Inventories } & 110,000 \\\text { Prepaid expenses } & 30,000 \\\quad \text { Total current assets } & \$ 280,000\end{array}\end{array}$$ Total current liabilities are $120,000.The acid-test ratio for Norton is

• A)2.33 to 1.
• B)2.08 to 1.
• C)1.17 to 1.
• D).54 to 1.

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Definitions:

Marginal Social Cost

The total cost society bears for the production of an additional unit of a good or service, including private and external costs.

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Tradable permits are environmental policy instruments that allow companies or entities to buy or sell allowances to emit a certain amount of pollutants, aiming to reduce overall emissions efficiently.

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Tradable Permits

Government-issued rights or allowances that permit the holder to emit a certain amount of a substance; can be bought, sold, or traded.