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Lunna [17]
2 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]2 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

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Variable cost per hour = $32

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3 years ago
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2 years ago
Floors n’ More, Inc., hires Gordon to renovate Floors n’ Mores showroom. Gordon submits plans that Floors n’ More approves. Gord
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Answer:

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Explanation:

In order to understand the scenario in case if Gordon wants to sue Floors n Mores they can only be compensated for the amount of project completion in line to the expectations that matches to Floors n More.

For Example if 75% of the work is in line with the expectation of Floors N More then Gordon should be paid total amount payable multiply by 75%.

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4 0
3 years ago
The Wet Corp. has an investment project that will reduce expenses by $25,000 per year for 3 years. The project's cost is $20,000
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Answer:

c. $20,416.50

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So, the cash-flow from the project in year 1 is $20,416.50

8 0
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