Use the following to calculate the acid-test ratio. (Round y…

Use the following to calculate the acid-test ratio. (Round your answer to two decimal places.) Cash                                $130,000Short-term investments    15,000Net current receivables   280,000Inventory                          280,000Total current liabilities    790,000 A) 0.73B) 8.67C) 0.89D) 0.54

At the beginning of 2019, C. Delorenzo Statewide Delivery, I…

At the beginning of 2019, C. Delorenzo Statewide Delivery, Inc. has the following account balances: Accounts Receivable                             $42,000     (debit balance)Allowance for Bad Debts                        $9,000     (credit balance)Bad Debts Expense                                         $0 During the year, credit sales amounted to $800,000. Cash collected on credit sales amounted to $790,000, and $18,000 has been written off. At the end of the year, the company adjusted for bad debts expense using the percent-of-sales method and applied a rate, based on past history, of 3.5%. The ending balance of Accounts Receivable is ________. (Hint: set up a T account for Account Receivable with the beginning balance, record the credit sales and collections and write-off. Then see the result) A) $42,000B) $34,000C) $57,120D) $18,000

Use the following to calculate the acid-test ratio. (Round y…

Use the following to calculate the acid-test ratio. (Round your answer to two decimal places.) Cash                                $130,000Short-term investments    15,000Net current receivables   280,000Inventory                          280,000Total current liabilities    790,000 A) 0.73B) 8.67C) 0.89D) 0.54

At the beginning of 2019, C. Delorenzo Statewide Delivery, I…

At the beginning of 2019, C. Delorenzo Statewide Delivery, Inc. has the following account balances: Accounts Receivable                             $42,000     (debit balance)Allowance for Bad Debts                        $9,000     (credit balance)Bad Debts Expense                                         $0 During the year, credit sales amounted to $800,000. Cash collected on credit sales amounted to $790,000, and $18,000 has been written off. At the end of the year, the company adjusted for bad debts expense using the percent-of-sales method and applied a rate, based on past history, of 3.5%. The ending balance of Accounts Receivable is ________. (Hint: set up a T account for Account Receivable with the beginning balance, record the credit sales and collections and write-off. Then see the result) A) $42,000B) $34,000C) $57,120D) $18,000

Use the following to calculate the acid-test ratio. (Round y…

Use the following to calculate the acid-test ratio. (Round your answer to two decimal places.) Cash                                $130,000Short-term investments    15,000Net current receivables   280,000Inventory                          280,000Total current liabilities    790,000 A) 0.73B) 8.67C) 0.89D) 0.54