Yellow Company Has the Following Data Available Current Liabilities What Is the Quick Ratio for Yellow Company in 2X13

question 121

Multiple Choice

Yellow Company has the following data available: $\begin{array} { l l l l } \text { Current Assets: } & 2X13 & 2 X12 & 2 X11 \\\quad \text { Cash } & \$ 25 & \$ 20 & \$ 15 \\\quad \text { Accounts Receivable } & 90 & 70 & 60 \\\text { Inventcry } & 65 & 50 & 40 \\\quad \text { Prepaid Rent } & \underline { 10 } & \underline { 15 } & \underline { 5 } \\\text { Total Current Assets } & \underline { \$ 190 } & \underline { \$ 155 } & \underline { \$ 120 } \\\text { Total Long-term Assets } & \$ 60 & \$ 60 & \$ 55\end{array}$
Current Liabilities:
$\begin{array} { c l l l } \text { Accounts Payable } & \$ 50 & \$ 30 & \$ 20 \\\text { Wages Payable } & 20 & 10 & 5 \\\text { Taxes Payable } & 10 & 5 & 15 \\\text { Current Long-Term Debt } & \underline { 10 } & \underline { 15 } & 5 \\\text { Total Curent Liabilities } & \underline { \$ 90 } & \underline { \$ 60 } & \$ 45 \\\text { Total Long-term Liabilities } & \$ 35 & \$ 45 & \$ 50\end{array}$
What is the quick ratio for Yellow Company in 2X13? Has the quick ratio improved or not improved since 2X12?

• A)2.11,not improved
• B)55,not improved
• C)1.39,improved
• D)1.39,not improved
• E)55,improved

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Definitions:

Performance Difficulties

Challenges or issues encountered that hinder the ability to achieve desired outcomes or standards in work or other activities.

Blame

The act of holding someone responsible for a fault or wrong, often resulting in negative feelings or sanctions.

Performance Deficiency

Performance deficiency occurs when an employee's work output fails to meet the required standards or expectations set by the organization.

Scope

Denotes the extent, range, or breadth of a project, study, or activity.