As the Accountant for Franks Retail Stores,you Must Calculate the Current

Multiple Choice

As the accountant for Franks Retail Stores,you must calculate the current ratio for the firm's last accounting period.The firm's current assets were $120,000,its fixed assets were $240,000,its current liabilities were $80,000,and its long-term liabilities were $60,000.Given these facts,what is the firm's current ratio?

A) 1
B) 1.5
C) 2
D) 3
E) 4