Kenny Rogers Roasters recently reported $92,560 in Cash, $878,000 in Accounts Receivable, $1,716,000 in Inventory, $205,000...

Kenny Rogers Roasters recently reported $92,560 in Cash, $878,000 in Accounts Receivable, $1,716,000 in Inventory, $205,000 in Notes Payable, $116,960 in depreciation, and $981,400 in Current Liabilities. Calculate the Current Ratio for Kenny Rogers Roasters? (round to two decimals)

		2.85
		0.35
		2.74
		3.07
		None of the above

Solutions

Expert Solution

Current Ratio = Total Current Assets/ Total current liabilities

Current Assets = Cash + Accounts receivable + Inventory = 878,000 + 1,716,000 + 205,000 = 2,799,000

Current liabilities = 981,400

Current ratio for Kenny Roasters = 2,799,000 / 981,400 = 2.85

jeff jeffy answered 2 years ago

Next > < Previous

Related Solutions

Kenny Rogers Roasters recently reported $92,560 in Cash $878,000 , $878,000 in Accounts Receivable, $1,716,000 in...

Kenny Rogers Roasters recently reported $92,560 in Cash $878,000 , $878,000 in Accounts Receivable, $1,716,000 in Inventory, $5,340,000 in Sales, $745,060 in net fixed assets, $3,431,620 in Total Assets, and $941,800 in Current Liabilities. What is the total asset turnover for Kenny Rogers Roasters? (round to two decimals) None of the above 6.76 1.56 0.68 1.47

Kenny Rogers Roasters recently reported Earnings before Interest and Taxes of $235,600. They have a tax...

Kenny Rogers Roasters recently reported Earnings before Interest and Taxes of $235,600. They have a tax rate of 30%. They also reported $6,034,000 in Sales, $75,600 in Net Income, and $3,496,672 in Total Assets. What is the Basic Earning Power for Kenny Rogers Roasters? (answers are in percentage rounded to two decimals)

Cash 5,633,555 Accounts Receivable 190,000 Allowance for Doubtful Accounts 13,300 Merchandise Inventory ...

Cash 5,633,555 Accounts Receivable 190,000 Allowance for Doubtful Accounts 13,300 Merchandise Inventory 1,454,919 Parts inventory 437,900 Prepaid insurance 20,667 Supplies 39,520 Short term Investments, FV-NI 390,000 Assets held for sale, fair value 190,000 Investments, FV-OCI 845,000 Building 2,200,000 Accumulated Depreciation: Building 1,540,000 Land 1,845,000 Vehicles 252,000 Accumulated Depreciation: Vehicles 138,600 Equipment 2,640,000 Accumulated Depreciation: Equipment 1,188,000 Bank loan 654,714 Accounts payable ...

Accounts Debit Credit Cash $ 25,400 Accounts Receivable 46,800 Allowance for Uncollectible Accounts $ 4,500 Inventory...

Accounts Debit Credit Cash $ 25,400 Accounts Receivable 46,800 Allowance for Uncollectible Accounts $ 4,500 Inventory 20,300 Land 49,000 Equipment 16,500 Accumulated Depreciation 1,800 Accounts Payable 28,800 Notes Payable (6%, due April 1, 2022) 53,000 Common Stock 38,000 Retained Earnings 31,900 Totals $ 158,000 $ 158,000 During January 2021, the following transactions occur: January 2 Sold gift cards totaling $8,600. The cards are redeemable for merchandise within one year of the purchase date. January 6 Purchase additional inventory on account,...

You have $60,000 in cash, $40,000 in accounts receivable, $100,000 in inventory, $65,000 in accounts payable,...

You have $60,000 in cash, $40,000 in accounts receivable, $100,000 in inventory, $65,000 in accounts payable, $25,000 in accrued expenses on 12/31/2017. What was your net working capital balance on this date?

Cash $ 25,300 Accounts Receivable 46,600 Allowance for Uncollectible Accounts $ 4,400 Inventory 20,200 Land 48,000...

Cash $ 25,300 Accounts Receivable 46,600 Allowance for Uncollectible Accounts $ 4,400 Inventory 20,200 Land 48,000 Equipment 16,500 Accumulated Depreciation 1,700 Accounts Payable 28,700 Notes Payable (6%, due April 1, 2019) 52,000 Common Stock 37,000 Retained Earnings 32,800 Totals $ 156,600 $ 156,600 During January 2018, the following transactions occur: January 2. Sold gift cards totaling $8,400. The cards are redeemable for merchandise within one year of the purchase date. January 6. Purchase additional inventory on account, $149,000. January 15....

Account Debit Credit Cash 31,680 Accounts Receivable 52,992 Notes Receivable 14,400 Interest Receivable 0 Inventory 52,128...

Account Debit Credit Cash 31,680 Accounts Receivable 52,992 Notes Receivable 14,400 Interest Receivable 0 Inventory 52,128 Prepaid Insurance 5,184 Land 28,800 Buildings 216,000 Equipment 86,400 Patent 12,960 Allowance for Doubtful Accounts 720 Accumulated Depreciation—Buildings 72,000 Accumulated Depreciation—Equipment 34,560 Accounts Payable 39,312 Salaries and Wages Payable 0 Notes Payable (due April 30, 2023) 15,840 Income Taxes Payable 0 Interest Payable 0 Notes Payable (due in 2028) 50,400 Common Stock 72,000 Retained Earnings 91,584 Dividends 17,280 Sales Revenue 1,296,000 Interest Revenue 0...

Accounts Debit Credit Cash 26700 Accounts Receivable 49400 Allowance for Uncollectible accounts 5800 Inventory 21600 Land...

Accounts Debit Credit Cash 26700 Accounts Receivable 49400 Allowance for Uncollectible accounts 5800 Inventory 21600 Land 62000 Equipment 23000 Accumulated Depreciation 3100 Accounts payable 30,100 Notes payable(6%,due april 1, 2019) 66,000 Common Stock 51,000 Retained Earnings 26,700 Totals 182,700 182,700 January 2. Sold gift cards totaling $11,200. The cards are redeemable for merchandise within one year of the purchase date. January 6. Purchase additional inventory on account, $163,000. January 15. Firework sales for the first half of the month total...

Explain the factors underlying a firm’s investment in cash and marketable securities, accounts receivable, and inventory.

Hytek Corporation ended last year with cash of $50.000, accounts receivable of $100,000, and inventory of...

Hytek Corporation ended last year with cash of $50.000, accounts receivable of $100,000, and inventory of $300,000. Property, plant, and equipment were valued at their original cost $470,000, less accumulated depreciation of $$170,000. Current liabilities other than income taxes owed were $120,000, and long-term debt was $250,000. Stockholders' equity consisted of (a) $90,000 capital stock investment and (b) accumulated retained earnings, which had totaled $130,000 at the end of 2017. Net sales for 2018 were $900,000. Expenses include $500,000 as...

Subjects