EXAM 1 CHAPTER 2 PRACTICE PROBLEMS

# EXAM 1 CHAPTER 2 PRACTICE PROBLEMS - HACE 3200 CHAPTER 2...

This preview shows pages 1–3. Sign up to view the full content.

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: HACE 3200 CHAPTER 2 PRACTICE PROBLEMS: RATIOS 1. John and Kate sat down and did their balance sheet. They find that they have: \$1,700 in savings; 2 cars worth \$10,400 each; \$8,000 in checking; \$25,000 in their trust fund; \$3,000 in cash; and \$18,000 in stocks. They owe \$1,500 for Kate’s tummy tuck (the bill is due 10/12/10); they owe \$2,500 for John’s hair implants (the bill is due next month); and they owe \$4,500 to their security guards (they want paid now!). Calculate John and Kate’s current ratio . 2. Debbie and Todd have an annual income of \$370,000. They live in a 5-bedroom house that has 8000 square feet. Their 2 children are ages 3 and 8. Together they own 4 vehicles. They have monetary assets of \$160,000, and investment assets of \$260,000. Liabilities include \$350,000 for their house, and \$44,150 for personal loans. Calculate Debbie and Todd’s debt ratio . 3. Harry Potter has \$25,000 in monetary assets and \$13,000 in current liabilities. He has income available for savings of \$8,000 and his income available for living expenses is \$20,000. Harry's current ratio is: 4.4....
View Full Document

{[ snackBarMessage ]}

### Page1 / 4

EXAM 1 CHAPTER 2 PRACTICE PROBLEMS - HACE 3200 CHAPTER 2...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online