Kannan Carpets, Inc

question 105

Multiple Choice

Kannan Carpets, Inc. has asked you to calculate the company's current ratio for 2016. All you have is a partial balance sheet and some assumptions. Using the information provided, calculate Kannan's current ratio for 2001. Gross profit margin = 50%
Inventory turnover (COGS/Inv) = 5
2016 sales = $3,000
Assets Liabilities & Equity
Cash ? Accounts payable $50
AR $40 Accruals ?
Inventory ? Long-term debt $400
Net fixed assets $500 Equity 250
Total assets $900 Total liab. & equity ?

• A) 0.3
• B) 0.8
• C) 1.6
• D) 2.2

---

Definitions:

Casual Sex

Sexual activity occurring between individuals without a formal or committed relationship.

Affection

A feeling of fondness or liking towards someone or something.

Mental Rotation Tasks

Tests that assess the capacity of individuals to rotate mental representations of two-dimensional and three-dimensional objects.

Heterosexual Women

Women who are romantically and sexually attracted to men.