Using the Following Year-End Information for Calvin's Clothing,calculate the Current

question 234

Multiple Choice

Using the following year-end information for Calvin's Clothing,calculate the current ratio and acid-test ratio for the business:
$\begin{array}{lr}\text { Cash } & \$ 52,000 \\\text { Short-term investments } & 12,000 \\\text { Accounts receivable } & 54,000\\\text { Inventory } & 325,000 \\\text { Prepaid expenses } & 17,500 \\\text { Accounts payable } & 106,500 \\\text { Other current payables } & 25,000\end{array}$

• A) 1.80 and 1
• B) 1.97 and 1.52
• C) 2.73 and 1.52
• D) 3.50 and 0.90
• E) 1.80 and 0.90

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Definitions:

Pubic Hair

Terminal body hair that becomes more prominent during and after puberty, typically found in the genital area.

Facial Beard

Hair growth on the chin, cheeks, and neck area of a person's face, typically observed in adult males.

Major Switching Station

Refers broadly to any neural structure that acts as a hub for transmitting signals from various parts of the body or brain to their intended destinations, crucial in the processing of sensory inputs and motor outputs.

Thalamus

A structure in the brain that acts as a relay station for sensory and motor signals to the cerebral cortex, playing a key role in regulating consciousness, sleep, and alertness.