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Based on the Above Figures, What Is the Current Ratio

Question 2

Multiple Choice

£Inentory 6,000Payables 12,000 Receivables11,000Non-currentliabilities 16,000Current portion of long-term borrowings 3,000Cash 1,000Taxation payable 5,000\begin{array}{l}\begin{array} {lll } &£\\\text {Inentory }&6,000\\\text {Payables }&12,000\\\text { Receivables}&11,000\\\text {Non-currentliabilities }&16,000\\\text {Current portion of long-term borrowings }&3,000\\\text {Cash }&1,000\\\text {Taxation payable }&5,000\\\end{array}\end{array} Based on the above figures, what is the current ratio?


A) 0.50:1
B) 0.60:1
C) 0.75:1
D) 0.90:1

Correct Answer:

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