Use the Following Data to Answer Questions 33-34 -To Two Decimals, Power Corp

question 5

Multiple Choice

Use the following data to answer questions 33-34.
Power Corp. reported the following data for calendar 2020: $\begin{array}{llr} \text { Total assets} &\$625,000\\ \text {Current assets } &325,000\\ \text { Total liabilities } &300,000\\ \text { Long-term liabilities} &145,000\\ \text { Inventories, Dec 31/19 } &110,000\\ \text { Inventories, Dec \( 31 / 20 \) } &100,000\\ \text { Net sales. } &1,550,000\\ \text { Gross profit} &920,000\\ \text { Net income} &205,000\end{array}$

-To two decimals, Power Corp.'s current ratio for 2020 is

• A) 1.08.
• B) 2.10.
• C) 2.08.
• D) 0.92.

Understand the correct order of liquidity for listing current assets.

Acknowledge the need for correct account usage and the impact of incorrect entries.

Learn about the preparation, purpose, and importance of adjusting and closing entries in the accounting cycle.

Understand the concept and purpose of closing entries in the accounting cycle.

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Definitions:

Body Weight

The mass or quantity of heaviness of an individual, typically measured in kilograms or pounds.

Stomach Distention

The expansion or bloating of the stomach due to excess gas, fluid, or solid material, often causing discomfort.

Insulin

A biochemical substance from the pancreas tasked with balancing glucose levels in the bloodstream by facilitating its uptake into bodily tissues.

Hunger

The physical sensation or condition driven by the body's need for nutritional intake.