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The Following Is a Simplified Financial Position Statement for a Company

question 97

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The following is a simplified financial position statement for a company:
 Assets $ Liabilities $ Cash 250000 Accounts payable 1480000 Trading securities 350000 Accrued expenses payable 420000 Accounts receivable 1360000 Taxes payable 140000 Inventory 2470000 Long-term debt 3850000 Property 3350000 Shareholders’ funds 2340000 Equipment 450000\begin{array} { | l | l | l | l | } \hline \text { Assets } & \$ & \text { Liabilities } & \$ \\\hline \text { Cash } & 250000 & \text { Accounts payable } & 1480000 \\\hline \text { Trading securities } & 350000 & \text { Accrued expenses payable } & 420000 \\\hline \text { Accounts receivable } & 1360000 & \text { Taxes payable } & 140000 \\\hline \text { Inventory } & 2470000 & \text { Long-term debt } & 3850000 \\\hline \text { Property } & 3350000 & \text { Shareholders' funds } & 2340000 \\\hline \text { Equipment } & 450000 & & \\\hline\end{array}
Calculate the liquidity ratio.

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