Given the following information: $\begin{array}{lr}
\text { Inventory } & \$ 500 \
\text { Short-term marketable securities } & 100 \
\text { Cash } & 200 \
\text { Prepaid insurance } & 300 \
\text { Accounts receivable } & 400 \
\text { Currentliabilities } & 400
\end{array}$ What is the quick ratio?
A)0.75 times
B)1.75 times
C)2.5 times
D)3.75 times

Question

Quizplus · Accepted Answer

The quick ratio is calculated as (Cash + Marketable Securities + Accounts Receivable) / Current Liabilities = (200 + 100 + 400) / 400 = 700 / 400 = 1.75 times.

Given the Following Information What Is the Quick Ratio? A)0

Given the Following Information What Is the Quick Ratio?
A)0