Brewster Company Has an Acid-Test Ratio of 1

Multiple Choice

Brewster Company has an acid-test ratio of 1.5 and a current ratio of 2.5.Current assets equal $200,000,of which $10,000 is prepaid expenses.The company's current assets consist of cash,marketable securities,accounts receivable,prepaid expenses,and inventory.Brewster Company's inventory must be:

A) $30,000
B) $110,000
C) $70,000
D) $80,000