The Balance Sheet of Crimpson Solutions Ltd

question 8

Multiple Choice

The balance sheet of Crimpson Solutions Ltd. has cash of $125 million, accounts receivable of $245 million, inventory of $160 million, and equipment worth $450 million. The company also has accounts payable of $120 million, notes payable of $280 million, and corporate bonds of $365 million. Crimpson's current ratio is:

• A)2.5 times.
• B)1.56 times.
• C)1.325 times.
• D)0.565 times.
• E)1.855 times.

---

Definitions:

Professional Buyers

Individuals or entities specializing in purchasing goods or services for their organization, focusing on obtaining the best quality at the most favorable terms.

Final Consumers

End users of a product or service who purchase not for reselling or manufacturing, but for personal or household use.

Proof Statements

Statements or evidence presented to support the validity or reliability of a claim, often used in sales and argumentative contexts to convince others.

Sales Presentation

A pitch or demonstration given to potential buyers with the purpose of promoting and selling a product or service.