A Company Has $120,000 in Current Assets; $550,000 in Total

question 164

Multiple Choice

A company has $120,000 in current assets; $550,000 in total assets; $90,000 in current liabilities,and $110,000 in total liabilities.Calculate the current ratio of the company.(Round your answer to two decimal places.)

• A) 1.33
• B) 1.72
• C) 1.75
• D) 1.09

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Definitions:

Warranty

A guarantee provided by a seller regarding the quality, performance, or condition of a product.

Gramm-Leach-Bliley Financial Modernization Act

A law enacted in 1999 that aims to regulate the collection, disclosure, and protection of consumers' personal financial information by financial institutions.

SEC

The U.S. Securities and Exchange Commission, a federal agency responsible for enforcing federal securities laws and regulating the securities industry.

FTC

The Federal Trade Commission, a U.S. federal agency tasked with protecting consumers and promoting competition.