-Based on the Above Data,what Is the Quick Ratio,rounded to Accounts

question 11

Multiple Choice

$\begin{array}{lr}\text { Accounts payable } & \$ 30,000 \\\text { Accounts receivable } & 35,000 \\\text { Accrued liabilities } & 7,000 \\\text { Cash } & 25,000 \\\text { Intangible assets } & 40,000 \\\text { Inventory } & 72,000 \\\text { Long-term investments } & 100,000 \\\text { Marketable securities } & 75,000 \\\text { Notes payable short-term } & 36,000 \\\text { Property, plant, and equipment } & 20,000 \\\text { Prepaid expenses } & 400,000 \\& 2,000\end{array}$
-Based on the above data,what is the quick ratio,rounded to one decimal point?

• A)1.7
• B)2.9
• C)1.1
• D)1.0

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Definitions:

Income and Losses

The total revenues gained minus the expenses and losses incurred by a business over a period, determining net profit or loss.

Accumulated Depreciation

The total amount of depreciation expense that has been charged against a fixed asset since it was acquired, reflecting its loss of value over time.

Equipment

Equipment refers to the tangible assets or tools used in the operation or production process of businesses, which can range from office supplies to heavy machinery.

Fair Market Value

The price at which an asset would trade in an open and competitive market between a willing buyer and a willing seller, both having reasonable knowledge of the pertinent facts.