A company has current assets of $250,000,current liabilities of $180,000,cash of $70,000,and a mortgage at the bank for $150,000 cash.What is the company's current ratio?
A) 0.47 3.57
B) 1.39
C) 1.67
D) 3.57

Question

Quizplus · Accepted Answer

The current ratio is calculated by dividing current assets by current liabilities. So, the current ratio = $250,000 / $180,000 = 1.39.

A Company Has Current Assets of $250,000,current Liabilities of $180,000,cash