The following information is from Acme's annual report for the years ended Dec. 31:

-Refer to the Acme annual report above.Calculate the current ratio for 2011.
A)0)4
B)1)1
C)2)2
D)3)5

Question

The following information is from Acme's annual report for the years ended Dec. 31:

-Refer to the Acme annual report above.Calculate the current ratio for 2011.
A)0)4 
B)1)1 
C)2)2 
D)3)5

Quizplus · Accepted Answer

Current ratio is calculated by dividing current assets by current liabilities. In 2011, current assets are $220,000 and current liabilities are $100,000. Therefore, the current ratio is 2.2 (220,000/100,000).

The Following Information Is from Acme's Annual Report for the Years