Excerpts from Colter Corporation's Most Recent Balance Sheet Appear Below

question 154

Multiple Choice

Excerpts from Colter Corporation's most recent balance sheet appear below: Sales on account in Year 2 amounted to $1,210 and the cost of goods sold was $720. The acid-test ratio at the end of Year 2 is closest to:

• A)0.72
• B)0.83
• C)0.59
• D)1.25

---

Definitions:

Global Sales

The total sales revenue generated from a company's products or services across different countries around the world.

Dollar Value

The monetary worth or significance of something, often used in the context of comparing currencies or assessing financial contributions or costs.

World Trade

The exchange of goods, services, and capital across international borders or territories, impacting global economic activity.

Manufactured Products

Goods that have been processed or transformed from raw materials into finished items through industrial operations.