Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. cash ratio = (cash + cash equivalents) / total

Cash ratio = (Cash + Cash equivalents) / Total current liabilities...

60.1K

Verified Solution

Question

Accounting

Cash ratio

=

(Cash + Cash equivalents) / Total current liabilities

Now,

compute

the cash ratios for

2016

and

2015.

(Round your answers to two decimal places, X.XX.)

2016:

2015:

More

Lanfield, Inc.

Comparative Balance Sheet

December 31, 2016 and 2015

2016

2015

2014*

Assets

Current Assets:

Cash

$98,000

$97,000

Accounts Receivables, Net

112,000

119,000

$106,000

Merchandise Inventory

147,000

162,000

202,000

Prepaid Expenses

12,000

7,000

Total Current Assets

369,000

385,000

Property, Plant, and Equipment, Net

219,000

176,000

Total Assets

$588,000

$561,000

$600,000

Liabilities

Total Current Liabilities

$226,000

$246,000

Long-term Liabilities

122,000

94,000

Total Liabilities

348,000

340,000

Stockholders' Equity

Preferred Stock, 4%

108,000

108,000

Common Stockholders' Equity, no par

132,000

113,000

94,000

Total Liabilities and Stockholders' Equity

$588,000

$561,000

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

\"We want to verify that IP(·) and IP^-1(·) are truely inverse operations. We consider a vector...

Advance Math
Q

1. Write the balanced oxidation and reduction half reactions for the reaction of (As_2O_3)^3- and I_2....

Chemistry
Q

From the expressions we derived for the kinetic theory of gases, it can be shown that...

Mechanical Engineering
Q

The mean diameters of planets A and B are 9.3 × 103 km and 1.6...

Physics
Q

A pion rest mass m 135 MeV c is moving with a velocity v 0...

Physics
Q

The electric potential decreases uniformly from 120V to 80V as one moves on the X...

Physics
Q

2 Individual and market demand Suppose that Alex and Becky are the only consumers of...

Basic Math
Q

Question 1 Imagine reflecting triangle ABC across line MN Then answer the questions about the...

Algebra
Q

Entity F borrowed $60,000 on October 1, 2024 issuing a 6-month,10% interest-bearing note to the...

Accounting
Q

Date Account Titles and Explanation Dec. 31 Prepaid Insurance Cash Debit (To record insurance used)...

Accounting
Q

Belden started the year with 1,800 units of inventory with a unit cost of $32....

Accounting
Q

Suppose the financial institution is trying to minimise their exposure to changes in the underlying...

Finance