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Ace industries has current assets equal to 3 million dollars The company's currerrent ratio is 1.5'and itsquick ratio is 1.o. what is the firm's level of current liabilities .what isinventories.?

If assets are 3 million and the current ratio is 1.5, the liabilities are 2 million. (current assets = 3 million/ current liabilities of 2 million = 1.5 current ratio.) Inventories have to be 1 million. The quick ratio is current assets = 3 million - 1 million inventory / current liabilities of 2 million equal a quick ratio of 1.


What's the formula for quick asset ratio?

1. Quick assets ratio formula Quick asset ratio = quick assets / current liabilities


SDJ Inc has net working capital of 1410 current liabilities of 5810 and inventory of 1315 What is the current ratio what is the quick ratio?

I will not actually work the problem for you, however, I will give you the formula to find the current ratio and the quick ratio. Current Ratio = Current Assets / Current Liabilities The quick Ratio is Quick ratio = (current assets - inventories) / current liabilities Use the numbers you provided above to fill in the blanks and you should get the current ratios and quick ratios with no problem. / = divided by


What ratios is a measure of a company's ability to pay all current liabilities if they come due immediately?

Quick Ratio helps the company to measure the ability to pay back immediately all the liabilities if they come due. Formula Quick ratio: Quick Assets/Current Liabilities Quick Assets = Cash + Bank + Marketable Securities + Inventory Sometimes inventories not included to check absolute liquidity because inventory also need some time to realize cash


A financial ratio that measures the ability to pay current liabilities with liquid assets (cash marketable securities and receivables) is called?

Quick ratio.

Related Questions

What is super quick ratio?

To find super quick ratio, first we have to find super quick assets and super quick assets can be found as under; Super Quick Asset = Quick Assets - Accounts Receivable (Net) Quick Assets = Current Assets - (Inventory + Prepaid Expense) Super Quick Ratio = Super Quick Assets / Current Liabilities Actually, Super Quick Assets tell the amount of money available to pay off current liabilities.


Ace industries has current assets equal to 3 million dollars The company's currerrent ratio is 1.5'and itsquick ratio is 1.o. what is the firm's level of current liabilities .what isinventories.?

If assets are 3 million and the current ratio is 1.5, the liabilities are 2 million. (current assets = 3 million/ current liabilities of 2 million = 1.5 current ratio.) Inventories have to be 1 million. The quick ratio is current assets = 3 million - 1 million inventory / current liabilities of 2 million equal a quick ratio of 1.


What quick ratio indicates?

Quick ratio indicates company's liquidity and ability to meet its financial liabilities. Formula of quick ratio = (Current assets - Inventory)/Current Liabilities


What's the formula for quick asset ratio?

1. Quick assets ratio formula Quick asset ratio = quick assets / current liabilities


Liquidity ratios Flying Penguins Corp has total current assets of 11.845.175 current liabilities of 5.311.020 and a quick ratio of 0.89 What is its level of inventory?

2


SDJ Inc has net working capital of 1410 current liabilities of 5810 and inventory of 1315 What is the current ratio what is the quick ratio?

I will not actually work the problem for you, however, I will give you the formula to find the current ratio and the quick ratio. Current Ratio = Current Assets / Current Liabilities The quick Ratio is Quick ratio = (current assets - inventories) / current liabilities Use the numbers you provided above to fill in the blanks and you should get the current ratios and quick ratios with no problem. / = divided by


Total quick assets of 5888000 total current assets of 11700000 total current liabilities of 8000000 and total long-term liabilities of 12000000 solve using the acid-test?

3.6985


In finance what does quick ratio mean?

In finance, a quick ratio is calculated by dividing the current assets of the company by their current liabilities, this result indicates the company's financial strength or weakness.


300000 current assets 100000 current liabilities and inventory of 150000 what is the acid test ratio?

acid test ratio = quick assets / current liabilitiesacid test ratio = 150000 / 100000acid test ratio = 150 %


What ratios is a measure of a company's ability to pay all current liabilities if they come due immediately?

Quick Ratio helps the company to measure the ability to pay back immediately all the liabilities if they come due. Formula Quick ratio: Quick Assets/Current Liabilities Quick Assets = Cash + Bank + Marketable Securities + Inventory Sometimes inventories not included to check absolute liquidity because inventory also need some time to realize cash


Why did the current ratio go up and the quick ratio go down?

The current ratio may increase due to a rise in current assets, such as cash or inventory, relative to current liabilities, indicating improved liquidity. Conversely, the quick ratio could decrease if inventory levels rise significantly, as this ratio excludes inventory from current assets. This divergence suggests that while the company has more overall assets to cover its short-term obligations, its liquid assets (excluding inventory) may not be sufficient to meet immediate liabilities.


A financial ratio that measures the ability to pay current liabilities with liquid assets (cash marketable securities and receivables) is called?

Quick ratio.