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4 years ago

An extract of a balance sheet is given. What are current ratio and the quick ratio

Business

1 answer:

RoseWind [281]4 years ago

4 0

Answer:

current ratio:

C.2.6:1

Quick ratio:

1.9:1

Explanation:

Current Ratio measures the ability of a business to pay its short term debts.

Quick Ratio measures the ability of the business to measure the available of liquid assets to pay the immediate debts.

Current Assets = Cash + Cash at bank + Account Receivable + Prepayments + Inventory = $2,000 + $20,000 + $5,500 + $1,500 + $10,000 = $39,000

Current Liabilities = Account Payable + Wages Payable + Tax Payable = $12,000 + $1,500 + $1,500 = $15,000

Current ratio = Current assets / Current Liability = $39,000 / $15,000 = 2.6

Quick ratio = ( Current assets - Inventory )/ Current Liability = ( $39,000 - $10,000 ) / $15,000 = $29,000 / $15,000 = 1.9

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lara31 [8.8K]

Answer:

Explanation:

The journal entry is shown below:

Interest expense A/c Dr $3,000

To Interest payable A/c $3,000

(Being interest is recorded)

The computation of the interest expense is shown below:

= Principal × rate of interest × number of months ÷ total number of months in a year

= $125,000 × 6% × (4 months ÷ 12 months)

= $2,500

The four-month is calculated from the September 1 to December 31

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3 years ago

In the context of performance appraisal dimensions and standards, the goal of meeting product specification standards is an exam

Vadim26 [7]

Answer:

Output measure:

Explanation:

Output measure:

it is structured report on business output that describe about the goal achievement, illustrating the point that is beneficial for the project etc.

it consist of all details about any task, like quantity of material produce, how much of it delivered to the next level. it doesn't mentioned the internal factor like quality of work that would impact the stakeholder.

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4 years ago

After US companies objected that the Foreign Corrupt Practices Act would put them at a competitive disadvantage, the FCPA was ev

Luden [163]

After US companies objected that the Foreign Corrupt Practices Act would put them at a competitive disadvantage, the FCPA was eventually amended to allow for <u>grease payments.</u>

<h3><u>Grease payments are what?</u></h3>

While a grease payment is made to hasten a trade or transaction, the former. The purpose of a grease payment is to expedite the process rather than to actually complete a transaction. Grease payments are not allowed under the FCPA as a way to influence the decision-making process of foreign officials.

In the event that they did, the money would be seen as a bribe and would be prohibited. It all comes down to the purpose of the money, and there is a very thin line between a greasing payment and a foreign bribe.

Learn more about grease payments with the help of the given link:

brainly.com/question/14529082

#SPJ4

<u>Correct question:</u>

After US companies objected that the Foreign Corrupt Practices Act would put them at a competitive disadvantage, the FCPA was eventually amended to allow for ______.

Multiple choice question.

a) grease payments

b) import tariffs

c) commission payments

d) export tariffs

6 0

2 years ago

Debra's manager publicly reprimanded her in the department meeting. during the manager's 10 minute rant, debra sat quietly. afte

pantera1 [17]

Answer:

Tend and befriend strategy

Explanation:

The tend and befriend strategy involves a person reacting to a situation by seeking for support from others (befriend) or supporting others (tend).

In this scenario Debra's manager publicly reprimanded her in the department meeting.

She did not react immediately but rather sought the support of her friend. She complained for two hours with her best friend to relieve the stress.

This is an example of tend and befriend reaction to stress.

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3 years ago

The following production data were taken from the records of the Finishing Department for July: Inventory in process, July 1, 40

ki77a [65]

Answer:

37,000 units

Explanation:

The computation of the total equivalent units for direct material is shown below:

= Transferred to finished goods during the month of July + Ending work in process during the month of July - Inventory in process as on July 1

= 37,500 units + 3,500 units - 4,000 units

= 41,000 units - 4,000 units

= 37,000 units

We simply used the above formula so that the total equivalent units for direct materials using the FIFO method could come

3 0

3 years ago