Case Study 17
Given: the Financial Data Below for Tech

Multiple Choice

Case Study 17
Given: The financial data below for Tech Engineering in 2016.
$$\begin{array} { | l | l | } \hline \text { Category } & \begin{array} { l } \text { Dollar } \\\text { Amount }\end{array} \\\hline \text { Cash } & \$ 800,000 \\\hline \text { Accounts receivable } & 1,000,000 \\\hline \text { Inventories } & 600,000 \\\hline \text { Intangibles } & 100,000 \\\hline \text { Accounts payable } & 650,000 \\\hline \text { Accrued Expenses } & 180,000 \\\hline\end{array}$$
-What is the acid-test ratio for the company in 2016?

A) 2.17
B) 1.61
C) 1.21
D) None of these