liquid assets 60000, stock 10000, pre paid expenses 4000, working capital 50000, calculate current assets ratio and liquid assets ratio
Answers
Answered by
16
Answer:
current ratio-3.08:1
liquid ratio-2.5:1
Attachments:
Answered by
9
Explanation:
Liquid Assets = 60,000
Stock = 10,000
Prepaid Expense = 4,000
Working Capital = 50,000
We know that
and
So,
Thus, required current asset ratio is 3.08 and liquid asset ratio is 2.5.
Similar questions