The following information is taken from the financial statements of Clybourn Company for the current year: $\begin{array}{lr}
\text { Current Assets } & \$ 32,000 \
\text { Total Assets } & 1,424,000 \
\text { Cost of Goods Sold } & 1,040,000 \
\text { Gross Profit } & 320,000 \
\text { Net Income } & 192,000
\end{array}$ On a common size balance sheet what is the percentage that would be shown next to the dollar amount of current assets?
A)100%
B)44%
C)30%
D)33%

Question

Quizplus · Accepted Answer

Current assets are 32,000 and total assets are 1,424,000. So, the percentage of current assets to total assets is 32,000 / 1,424,000 * 100 = 2.25%.

The Following Information Is Taken from the Financial Statements of Clybourn