1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Lunna [17]
3 years ago
12

Emma Jones Company has the following information​ available: Account ​12/31/2019 ​12/31/2018 Accounts Payable ​$76,500 ​$80,000

Accounts​ Receivable, net ​42,300 ​49,000 Cash and Cash Equivalents ​43,700 ​70,000 Inventories ​100,000 ​99,000 LongminusTerm Investments ​20,000 ​100,000 ShortminusTerm Investments ​27,000 ​44,000 Income Taxes Payable ​2,000 ​5,000 LongminusTerm Notes Payable ​20,000 ​30,000 Did the quick ratio improve from 2018 to​ 2019? A. Yes. B. No. C. It stayed the same. D. There is not enough information.
Business
1 answer:
leonid [27]3 years ago
3 0

Answer:

B. No.

Explanation:

The formula to compute the quick ratio is shown below:

Quick ratio = (Quick assets) ÷ (current liabilities)

where,

For 2018

Quick assets = Accounts​ Receivable, net  + Cash and Cash Equivalents + Short minus Term Investments

= $49,000 + $70,000 + $44,000

= $163,000

And, the current liabilities = Accounts Payable +  Income Taxes Payable

                                           =  ​$80,000 + 5,000

                                           = $85,000

Now put these values to the above formula  

So, the ratio would equal to

= $163,000 ÷ $90,000

= 1.81 times

For 2019

Quick assets = Accounts​ Receivable, net  + Cash and Cash Equivalents + Short minus Term Investments

= $42,300 + $43,700 + $27,000

= $113,000

And, the current liabilities = Accounts Payable +  Income Taxes Payable

                                           =  ​$76,500 + 2,000

                                           = $78,500

Now put these values to the above formula  

So, the ratio would equal to

= $113,000 ÷ $78,500

= 1.43 times

No, as it shows declining from 2018 to 2019

You might be interested in
The McDonald's fast-food restaurant on campus sells an average of 4,000 quarter-pound hamburgers each week. Hamburger patties ar
san4es73 [151]

Answer: 11.42 times

Explanation:

Inventory Turnover = Cost of Goods Sold / Average inventory

Where,

Cost of goods sold = 4,000 quarter-pound hamburgers each week x $1.00 a pound

COGS = $4,000 per week

Average Inventory = 350 pounds of hamburger

Inventory Turnover = 4000 / 350 = 11.42 times

3 0
3 years ago
Fair Value Journal Entries, Trading Investments Jets Bancorp Inc. purchased a portfolio of trading securities during 20Y3. The c
Inessa05 [86]

Answer:

Trading Investments Jets Bancorp Inc.

Journal Entries - Fair Value:

Dec. 31, 20Y3:

                                                             Debit           Credit

Investment in Dolphins Inc.               $3,200

Gain (Loss) on Investments                                     $3,200

To record the investment's fair value and gain.

Gain (Loss) on Investments            $4,200

Investment in Marino Company                              $4,200

To record the investment's fair value and loss.

Gain (Loss) on Investments            $1,200

Investment in Namath Company                             $1,200

To record the investment's fair value and loss.

May 10, 20Y4:

Investment in Jets Bancorp Inc     $24,000

Brokerage Commission                       $150

Cash Account                                                          $24,150

To record purchase of 1,000 shares at $24 per share plus commission.

Explanation:

a) Trading securities are a category of securities that include both debt securities and equity securities.   An entity holds them with the intention  to sell in the short-term for a profit that arises from increases in the prices of the securities.

b) Fair value is an asset's selling price, which is freely agreed upon between a willing and knowledgeable buyer and seller.  But, for Debt Securities, it represents the market value of the investments at any point in time when financial statements are being prepared.  Investments that are held for trading purposes are required to be accounted for, using the fair value method.  This implies that the gains and losses, both realized and unrealized must be accounted for whenever financial statements are bing prepared or when the investment is disposed of.

3 0
3 years ago
Cash Payback Period for a Service Company Prime Financial Inc. is evaluating two capital investment proposals for a drive-up ATM
sashaice [31]

Answer:

Location 1 = 5 years

Location 2  = 4 years

Explanation:

The period in which initial investment is recovered by a business is known as payapack period.

Location 1

Net cash flow = $320,000

Cash Flow per year = $320,000 / 8 = $40,000

Payback period = Initial Investment / Yearly cash flow = $200,000 / $40,000 per year = 5 years

Location 2

As per given Data

Cash Flows

Year1 $60,000    Year2 $50,000

Year3 $50,000     Year4 $40,000

Year5 $30,000    Year6 $30,000

Year7 $30,000    Year8 $30,000

Payback period                  Balance      

Year0 ($200,000)            ($200,000)    

Year1 $60,000                  ($140,000)

Year2 $50,000                 ($90,000)

Year3 $50,000                  ($40,000)

Year4 $40,000                     ($0)

It took 4 year to recoveer the initial investment, so the payaback period is 4 years.

4 0
3 years ago
Soon-Yi Park’s chain of travel agencies has identified the lesbian, gay, bisexual, and transgender community as a growing market
xenn [34]

Answer: Implement a mass marketing campaign

Explanation:

From the question, we are informed that Soon-Yi Park’s chain of travel agencies has identified the lesbian, gay, bisexual, and transgender community as a growing market that spends an increasing percentage of its income on travel.

The least effective component of a marketing plan for Soon-Yi to take advantage of this opportunity is implementing a mass marketing campaign. Rather, Soon-Yi should use a strategy relating to those in LGBT.

5 0
3 years ago
Can someone plz answer I got a bunch of work to do and if I don't finish I'll fail my freshman yr
Assoli18 [71]
Wow, That's tough..... I'll help. 1, A. Income.  2, D. Soil.  3, D. Resources. I hope this helped. :)
3 0
3 years ago
Other questions:
  • If your company had an annual purchase cost of items equal to $2,000,000, an annual holding cost of $150,000 and an annual order
    14·1 answer
  • The demand for chocolate chip cookie dough ice cream is likely quite elastic because
    8·1 answer
  • The Goliath Inc. decides to pay the following dividends over the next three years: $2, $2.6, and $3.38. Thereafter, the company
    9·2 answers
  • Gary participates in a group long-term care insurance program through his employer. The employer pays for a standard level of co
    5·1 answer
  • Which of the following is false regarding net realizable value (NRV)?
    8·1 answer
  • At Lequals86​, Kequals90​, the marginal product of labor is 8 and the marginal product of capital is 2. What is the marginal rat
    9·1 answer
  • LETS MAKE THIS A QUESTION THAT HAS NO STARS. ONLY THANKS!!!!!!!
    7·1 answer
  • If a company has employees, their salaries and wages are accounted for in
    9·2 answers
  • Kay Company budgets overhead cost of $4,104,000 for the next year. The company uses direct labor hours as its overhead allocatio
    6·1 answer
  • The capital projects fund of Hood River completed construction of an addition to its city hall at a cost of $4,000,000. The city
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!