Alice Co. has a current ratio of 2.7. The acid test ratio is 2.2. The current liabilities of Alice Co. are $46,000. Could you calculate the dollar amount of merchandise inventory?

Name: Alice Co. has a current ratio of 2.7. The acid test ratio is 2.2. The current liabilities of Alice Co. are $46,000. Could you calculate the dollar amount of merchandise inventory?
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Question

Quizplus · Accepted Answer

$46,000 × 2.7 + $46,000 × 2.2 = $124,200 - $101,200 = $23,000.

Alice Co Has a Current Ratio of 2