The classified balance sheet for a company reported current assets of $1,623,850, total liabilities of $799,540, Common Stock of $1,000,000, and Retained Earnings of $130,260.The current ratio was 2.5.
-Use the information above to answer the following question.Which of the following statements is not correct?
A) Total Assets are $1,929,800.
B) Total Stockholders' equity is $1,130,260.
C) Noncurrent liabilities are $130,260.
D) The amount of current assets is 2.5 times the amount of current liabilities.

Question

Quizplus · Accepted Answer

The given information does not provide any value or indication about the noncurrent liabilities of the company. Noncurrent liabilities cannot be calculated or assumed based on the provided information, so option C is incorrect. However, options A, B, and D are correct based on the given information.

The Classified Balance Sheet for a Company Reported Current Assets