Excerpts from Colter Corporation's Most Recent Balance Sheet Appear Below

question 152

Multiple Choice

Excerpts from Colter Corporation's most recent balance sheet appear below: Sales on account in Year 2 amounted to $1,210 and the cost of goods sold was $720.The acid-test (quick) ratio at the end of Year 2 is closest to:

• A) 0.72
• B) 0.83
• C) 0.59
• D) 1.25

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Definitions:

Multichannel Retailers

Retailers that utilize multiple sales channels, such as brick-and-mortar stores, online websites, and catalogs, to reach customers.

Nonstore Formats

Retail operations that do not involve a traditional, physical store setting, such as online shopping, catalog shopping, and direct selling.

Retail Life Cycle

The progression of stages that a retail business goes through, from introduction to growth, maturity, and decline.

Multiple Outlets

Refers to the presence of a business or brand in several retail locations or sales channels to increase market reach and accessibility to consumers.