The financial statements of Weston Office Supply include the following items:

What is 2017 current ratio? (Round your answer to two decimal places. )
A)0.82
B)0.57
C)1.22
D)1.70

Question

The financial statements of Weston Office Supply include the following items:

What is 2017 current ratio? (Round your answer to two decimal places. )
A)0.82 
B)0.57 
C)1.22 
D)1.70

Quizplus · Accepted Answer

C)Current Ratio = Total current assets / Total current liabilities
Current Ratio = (Cash $51,500 + Short-term Investments $32,000 + Net Accounts Receivable $96,000 + Merchandise Inventory $126,000)/ $251,000
Current Ratio = $305,500 / $251,000
Current Ratio = 1.22

The Financial Statements of Weston Office Supply Include the Following