The Current Ratio for a Company with Current Assets of $70,000,quick

question 157

Multiple Choice

The current ratio for a company with current assets of $70,000,quick assets of $30,000,total assets of $150,000,current liabilities of $50,000,and net sales of $80,000 would be:

• A)0)20.
• B)1)40.
• C)3)00.
• D)1)00.

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Definitions:

Flexible Budget

A budget that adjusts or flexes with changes in volume or activity levels, allowing better performance evaluation.

Other Expenses

Costs not directly related to the core operations of a business, such as interest payments or losses from selling assets.

Food And Supplies

Items necessary for the preparation and service of food in industries such as catering or restaurants.

Net Operating Income

It is the total profit of a company after operating expenses are subtracted from total revenue but before interest and taxes are deducted.