Answer:
The correct option is B that is 0.45
Explanation:
Computing the Current Ratio with the formula which is as:
Current Ratio (CR) = Current Assets (CA) / Current Liabilities (CL)
where
Current Ratio (CA) is $477.50
Current Liabilities (CL) is $1075
Putting the values in the above formula of Current Ratio (CR):
= $477.50 / $1075
= 0.444 or 0.45
Note 1: Inventory will not be included while computing the current ratio, as it is already been added in the current assets. Therefore, there is no need of adding it twice in the Assets.
Note 2: This is the correct formula for computing the current ratio and I computed the same with the given information, so it 0.45 is the correct answer.
Answer:
A. Request confirmation of a sample of the inactive account.
Explanation:
In the confirmation of accounts receivable, the auditor would most likely Request confirmation of a sample of the inactive accounts .
Answer:
<em>The adjustment for overapplied overhead </em><em><u>decreases cost of goods sold and increases</u></em><em> </em><em>net income</em>
Answer:
The incorrect statement about Venture capitalists is:
Venture capitalists usually assume active roles in the management of the financed firm.
Explanation:
Venture capitalists are high net worth individuals with managerial competence or experience seeking for new businesses to invest in. In exchange, they ask for an equity stake in the company they finance.
Venture capital financing is the type of funds that are given to invested into viable businesses in their budding stage by investors that see long term growth potential in them. it is a form of private equity.
Venture Capitalist never assume active roles in the management of the financed firm. however, if they have the technical know how, they may pitch in passively from time to time to advice.