A Corporation Reports the Following Year-End Balance Sheet Data A) 037
B) 0

Short Answer

A corporation reports the following year-end balance sheet data. The company's current ratio equals: $\begin{array}{lrlr}\text { Cash } & \$ 40,000 & \text { Current liabilities } & \$ 75,000 \\\text { Accounts receivable } & 55,000 & \text { Long-term liabilities } & 35,000 \\\text { Inventory } & 60,000 & \text { Common stock } & 100,000\\\text { Equipment }&145,000&\text { Retained earnings }&90,000\\\text { Total assets }&\$300,000&\text { Total liabilities and equity }&\$300,000\\\end{array}$
A) 0.37
B) 0.58
C) 0.63
D) 1.27
E) 2.07