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Ghella [55]
3 years ago
9

At the end of the recent year, The Gap, Inc., reported total assets of $7,610 million, current assets of $4,315 million, total l

iabilities of $4,706, current liabilities of $2,453 million, and stockholders' equity of $2,904 million. What is its current ratio and what does this suggest about the company?
Business
1 answer:
borishaifa [10]3 years ago
3 0

Explanation:

The formula to compute the current ratio is shown below:

Current ratio = Total Current assets ÷ total current liabilities

where,

Total current assets = $4,315 million

And, the total current liabilities is $2,453 million

So, the current ratio is

= $4,315 million ÷ $2,453 million

= 1.76 times

Since the current ratio is greater than the 1.76 times that reflects that company have a liquidity position and it is able to pay its short term obligations

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Which of the following are true?
laiz [17]

Answer:

c. Payback is the amount of time to recover the initial investment. No discounting occurs and all cash flows after the payback period are not accounted for. The rule is intuitive and used by small business owners

Explanation:

Net present value is the present value of after tax cash flows from an investment less the amount invested.  The NPV does account for all cash flows as well as time value of money.

Internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested . The IRR does account for all cash flows.

The discounted payback period discounts cash flows

3 0
3 years ago
Assets are financed by creditors and owners. At 1/29/2021, approximately what percentage of Dollar General’s assets are financed
Vlad [161]

Based on the amount of equity and that of assets, the percentage funded by owners is<u> 29.4%. </u>

<h3>What is the Percentage financed by owners?</h3>

This can be found by the formula:

= Equity / Assets x 100%

Solving gives:

= 6,702,500 / 22,825,084 x 100%

= 29.4%

In conclusion, 29.4% is financed by the owners.

Find out more on Equity at brainly.com/question/25847981.

7 0
2 years ago
The following information pertains to Crane Company. 1. Cash balance per bank, July 31, $9,222. 2. July bank service charge not
ololo11 [35]

Explanation:

The preparation of bank reconciliation is presented below:

                                        Crane Company

                          Bank reconciliation statement  

                                        July 31, 2022

Particulars                    Amount   Particulars                     Amount

Bank cash balance     $9,222   Company cash balance  $9,328

Deposits in transit       $3,763   Collections                       $2,120

Less: Outstanding                      Less: service fee            -$53

Check                          -$1,590

Bank balance                                   Company balance

After reconciliation    $11,395      After reconciliation  $11,395

4 0
3 years ago
Which of the following is true regarding the Statement of Revenues, Expenses, and Changes in Net Position for a public college c
blsea [12.9K]

Answer:

All of these options is true

Explanation:

Statement of revenue and expenses is a comprehensive report showing the amount of profit earned minus the amount of operating expenses.

It provides information regarding the organization's operation as well as the revenue generated.

Revenue earned is collated as receipts and included in the statement of revenue and expenses.

Regarding the Statement of Revenues, Expenses, and Changes in Net Position for a public college choosing to report as a special-purpose entity engaged in business-type activities, the following apply:

  • State appropriations should be reported as non-operating income
  • Both contributions for plant and for endowment purposes must be reported separately after both operating and non-operating revenues and expenses
  • An operating income figure must be displayed
4 0
3 years ago
Which of the following principles underlies the interaction of individual choices? a Marginal analysis is used for "how much" de
GalinKa [24]

Answer:

d There are gains from trade.

Explanation:

A trade can be defined as the process that typically involves the buying and selling of goods and services between a buyer (consumer) and a seller (producer).

Thus, trade creates an enabling environment that suits a specific service provider or producer of a particular product.

Basically, the interaction of individual choices underlies the fact that there are gains from trade.

This ultimately implies that, as a result of the difference between human needs and wants, there is always an opportunity for various producers to manufacture goods and services to meet the needs or requirements of these customers.

6 0
3 years ago
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