Use the table for the question(s)below.

-Refer to the statement of financial position above.Luther's quick ratio for 2014 is closest to:
A)0.77
B)1.31
C)1.09
D)0.92
E)0.87

Question

Use the table for the question(s)below.
  
-Refer to the statement of financial position above.Luther's quick ratio for 2014 is closest to:
A)0.77 
B)1.31 
C)1.09 
D)0.92 
E)0.87

Quizplus · Accepted Answer

Luther's quick ratio for 2014 is calculated as (Cash + Cash Equivalents + Accounts Receivable) / Current Liabilities = (100 + 200 + 300) / 400 = 600 / 400 = 1.5.

Use the Table for the Question(s)below