This question was created from STR 581 Capstone Final Exam Part 2 (in the last score is 2225).doc https://www.coursehero.com/file/26469957/STR-581-Capstone-Final-Exam-Part-2-in-the-last-score-is-2225doc/
The following information is given for Rafea Corporation. Rafea Corporation Balance Sheet December 31, 2016 Assets Liabilities Cash $ 20,300 Accounts payable $ 82,400 Marketable securities 33,000 Bonds payable 215,300 Accounts receivable 74,200 Common stock 78,900 Inventory 82,400 Paid-in-capital 37,600 Fixed assets 258,500 Retained earnings 54,200 468,400 468,400 Which of the following can be inferred from the data? The company has a current ratio of 1.13. The company has a debt-to-equity ratio of 0.71. The company has a debt-to-equity ratio of 1.74. The company has a current ratio of 1.51.
Current Ratio = 2.55 Debt - Equity... View the full answer
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Current ratio = Current Assets / Current Liabilities Current assets = Cash +... View the full answer
Current ratio: It indicates a corporation's ability to meet its short-term liabilities (obligations) when they become due. It... View the full answer