Given the Following Data: in Vertical Analysis, Current Liabilities

question 119

Multiple Choice

Given the following data: In vertical analysis, current liabilities would be expressed as:

• A) 356%.
• B) 90%.
• C) 111%.
• D) 28%.

---

Definitions:

Perpetual Inventory System

A continuous tracking method for inventory that records the sale or purchase of inventory immediately through the use of computerized point-of-sale systems and enterprise asset management software.

LIFO

Last In, First Out, an inventory accounting method where the last items placed in inventory are the first ones to be used or sold.

Ending Inventory

Products' value that is available for transaction at the culmination of an economic period.

Merchandise Inventory

Goods held by a business for the purpose of resale to customers in the ordinary course of business.