This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Which of the following the correct formula for calculating acid test ratio? A) Acid test ratio = ... (Read 105 times)

809779

  • Hero Member
  • *****
  • Posts: 579
on: Jul 6, 2018
Which of the following the correct formula for calculating acid test ratio?
 
  A) Acid test ratio = (Current assets - Inventory) / Current liabilities
  B) Acid test ratio = (Current assets - Interest expense) / Current liabilities
  C) Acid test ratio = (Current assets - Current liabilities) / Current liabilities
  D) Acid test ratio = Current assets / Current liabilities

Question 2

A _________ is a book in which business transactions are recorded.
 a. ledger
   b. balance sheet
   c. journal
   d. trial balance


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

b614102004

  • Sr. Member
  • ****
  • Posts: 320
Reply #1 on: Jul 6, 2018
Answer to Question 1

A
Explanation: A) Acid test ratio = (Current assets - Inventory) / Current liabilities

Answer to Question 2

c


809779

  • Member
  • Posts: 579
Reply 2 on: Jul 6, 2018
Thanks for the timely response, appreciate it

nguyenhoanhat

  • Member
  • Posts: 332
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

A cataract is a clouding of the eyes' natural lens. As we age, some clouding of the lens may occur. The first sign of a cataract is usually blurry vision. Although glasses and other visual aids may at first help a person with cataracts, surgery may become inevitable. Cataract surgery is very successful in restoring vision, and it is the most frequently performed surgery in the United States.

Did you know?

Only 12 hours after an egg cell is fertilized by a sperm cell, the egg cell starts to divide. As it continues to divide, it moves along the fallopian tube toward the uterus at about 1 inch per day.

Did you know?

The most common treatment options for addiction include psychotherapy, support groups, and individual counseling.

Did you know?

Chronic necrotizing aspergillosis has a slowly progressive process that, unlike invasive aspergillosis, does not spread to other organ systems or the blood vessels. It most often affects middle-aged and elderly individuals, spreading to surrounding tissue in the lungs. The disease often does not respond to conventionally successful treatments, and requires individualized therapies in order to keep it from becoming life-threatening.

Did you know?

Nearly all drugs pass into human breast milk. How often a drug is taken influences the amount of drug that will pass into the milk. Medications taken 30 to 60 minutes before breastfeeding are likely to be at peak blood levels when the baby is nursing.

The conduction system of the heart; traces the path of the electrical impulse that stimulates the he The conduction system of the heart; traces the path of the electrical impulse that stimulates the he
Amino Acid Codons Amino Acid Codons
Lysergic acid diethylamide Lysergic acid diethylamide
Block Diagram of a High Concentrate Nitric Acid System for Dual-Stage Pressure Production of Nitric Block Diagram of a High Concentrate Nitric Acid System for Dual-Stage Pressure Production of Nitric
Acid–Base Balance Acid–Base Balance
Quadratic Formula Quadratic Formula
Video: Major Elements in Biological Molecules: Lipids

For a complete list of videos, visit our video library