Excerpts from Stepney Corporation's most recent balance sheet (in thousands of dollars)appear below:
Sales on account during the year totaled $1,440 thousand.Cost of goods sold was $890 thousand.
Required:
Compute the following for Year 2:
a.Working capital.
b.Current ratio.
c.Acid-test ratio.
d.Accounts receivable turnover.
e.Average collection period.
f.Inventory turnover.
g.Average sale period.

Question

Excerpts from Stepney Corporation's most recent balance sheet (in thousands of dollars)appear below:  
Sales on account during the year totaled $1,440 thousand.Cost of goods sold was $890 thousand.
Required:
Compute the following for Year 2:
a.Working capital.
b.Current ratio.
c.Acid-test ratio.
d.Accounts receivable turnover.
e.Average collection period.
f.Inventory turnover.
g.Average sale period.

Quizplus · Accepted Answer

The Answer of Excerpts from Stepney Corporation's most recent balance sheet (in thousands of dollars)appear below:  
Sales on account during the year totaled $1,440 thousand.Cost of goods sold was $890 thousand.
Required:
Compute the following for Year 2:
a.Working capital.
b.Current ratio.
c.Acid-test ratio.
d.Accounts receivable turnover.
e.Average collection period.
f.Inventory turnover.
g.Average sale period.

Excerpts from Stepney Corporation's Most Recent Balance Sheet (In Thousands