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Brrunno [24]
3 years ago
9

Refer to the following selected financial information from Dodge Company. Compute the company's acid-test ratio. Cash $ 42,250 S

hort-term investments 60,000 Accounts receivable, net 79,500 Merchandise inventory 115,000 Prepaid expenses 9,700 Accounts payable 111,400
a. 2.75.
b. 2.66.
c. 0.92.
d. 1.12.
e. 1.63.
Business
1 answer:
Vikki [24]3 years ago
8 0

Answer:

company's acid-test ratio is 1.63. Option e

Explanation:

Acid test ratio is similar to current ratio. However, current assets difficult to liquidate such as inventory are usually not included in the total current asset computation

Given,

Cash = $ 42,250

Short-term investments = 60,000

Accounts receivable, net = 79,500

Merchandise inventory = 115,000

Prepaid expenses = 9,700

Accounts payable = 111,400

Acid test = (42250 + 60000 + 79500 + 9700)/111400

               = 181750/111400

               = 1.63

Option e.

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Answer:

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Direct marketing is suitable for small business that cannot afford the cost of intermediaries. It is also ideal to manufactures with low volumes of production, or those that cover a small geographical area.  Sophie does direct marketing as she produces and sells to the consumers directly.  By engaging in direct marketing, Sophie is in control of all aspects of distribution.

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Determine whether the following would be reported in the financing activities section of the statement of cash flows and, if so,
Marat540 [252]

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A bond can be bought on the secondary market before adulthood. however, the price of this bond will promote greater than par (i.e. a premium) if present-day interest quotes decrease than what they had been while the bond was issued and less than par if interest fees have gone up (i.e. a reduction).

An example, a bond is issued these days, maturing in 10 years with an annual coupon of five%. In 5 years, hobby fees have risen to 7%, so someone shopping for the bond with a five% coupon would demand a discount at the face price (in any other case, they could just buy the 7% bond at par).

Learn more about bond here: brainly.com/question/25965295

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7 0
2 years ago
Now you must decide who should be on the team. Kelly will be on the team as a matter of course, and you must choose three other
Maurinko [17]

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Explanation:

Team work requires the best of those not only coming to the team with their talent and idea but those who'd be willing to put their everything to make sure the project being carried out is a success, failure to do so would just be having bunch of talented people with no passion but woould rather work for personal gain and fame. Choosing the best shouldn't just be what they can do but also how passionate are they. That's why the best choices would have been Deepak Menon, Ruby Coulbury, and Ethan Atkinson based on their passion accompanied with their talent.

7 0
3 years ago
Suppose timothy consumes two goods, soda and chips. the slope of his indifference curve for these two goods reflects:​
Ierofanga [76]

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6 0
3 years ago
Kearney, Inc., makes kitchen tools. Company management believes that a new model of coffee grinder would sell well at a price of
IRINA_888 [86]

Answer:

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Explanation:

Given that

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