A Company Has $140,000 in Current Assets;$600,000 in Total Assets;$80,000

question 64

Multiple Choice

A company has $140,000 in current assets;$600,000 in total assets;$80,000 in current liabilities,and$120,000 in total liabilities.The company has a current ratio of:

• A)1.76
• B)1.17
• C)1.57
• D)1.75

Understand the special case relationship between the break-even point formula and the formula to attain a target profit.

Understand how to compute budgeted changes in inventory levels.

Understand the process of budgeting for cash collections from customers.

Understand and calculate cash disbursements for purchases and operating expenses.

---

Definitions:

Variability

The extent to which data points in a statistical distribution or data set diverge from the average or mean value.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how spread out the values are from the average.

Deviations

Differences between observed values and the average of those values in a dataset.