The Following Data Are Taken from the Balance Sheet at the End

question 85

Essay

The following data are taken from the balance sheet at the end of the current year. $$\begin{array} { l l } \text { Cash } & \$ 154,000 \\\text { Accounts receivable } & 210,000 \\\text { Inventory } & 240,000 \\\text { Prepaid expenses } & 15,000 \\\text { Temporary investments } & 350,000 \\\text { Property, plant, and equipment } & 375,000 \\\text { Accounts payable } & 245,000 \\\text { Accrued liabilities } & 4,000 \\\text { Income tax payable } & 10,000 \\\text { Notes payable, short-term } & 85,000\end{array}$$ Determine the a) working capital, b) current ratio, and c) quick ratio. Round ratios to the nearest tenth.

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Definitions:

Summarizing

The act of succinctly restating the main points or essence of a text or speech.

Next Topic

Refers to the subsequent point or subject to be discussed, considered, or addressed in a conversation or agenda.

Past Progress

The achievements or advancements made in the past, often used as a benchmark for current and future developments or improvements.

Reflecting Feelings

A counseling technique that involves echoing the emotions of a client to validate their feelings and promote understanding.