The Following Financial Statement Information Is Available for Houser Corporation

question 210

Multiple Choice

The following financial statement information is available for Houser Corporation: $\begin{array}{lrr}&2014&2013\\\text { Inventory } & \$ 44,000 & \$ 43,000 \\\text { Current assets } & 75,000 & 106,000 \\\text { Total assets } & 432,000 & 358,000 \\\text { Current liabilities } & 30,000 & 36,000 \\\text { Total liabilities } & 102,000 & 88,000\end{array}$ The current ratio for 2014 is

• A) .40:1.
• B) 2.5:1.
• C) .31:1.
• D) 4.24:1.

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Definitions:

User Charge

A fee paid by the users of a service or facility, directly relating to the extent of their use.

Recreation Center

A facility provided by many communities for leisure, sports, and other recreational activities.

Membership Fees

Charges paid by individuals to belong to an organization, club, or group, granting them access to specific services or privileges.

Shortsightedness Effect

The tendency of decision-makers to prioritize immediate benefits at the expense of long-term values.