At the Beginning of the Year,Butters Company's Balance Sheet Showed

Multiple Choice

At the beginning of the year,Butters Company's balance sheet showed current assets of $36,000 and current liabilities of $10,000.During the current year,Butters issued common stock for $5,000 for cash and purchased $3,000 of inventory on account.After these transactions were recorded,Butter's current ratio was:

A) 1.17.
B) 1.60.
C) 3.38.
D) 3.60.