Bertha has the following accounts:
Accounts Receivable: $10,000
Land: $20,000
Cash: $22,000
Intangible Assets: $12,500
Inventory: $33,000
Equipment: $99,000
Prepaid Expenses: $10,000
Based on this information, what is the amount of Bertha's quick assets?
A)$206,500
B)$65,000
C)$60,000
D)$32,000
E)$42,000

Question

Quizplus · Accepted Answer

The quick assets listed in the accounts total $32,000 and include Cash and Accounts Receivable.
Key Takeaway: Quick assets are cash and those assets that can be quickly converted to cash. This would include cash accounts, marketable securities, and accounts receivable.

Bertha Has the Following Accounts