Jones Corp.reported current assets of $193,000,current liabilities of $137,000,and total liabilities of $275,714 on its most recent balance sheet.The current ratio is:

A) 1.4 : 1.
B) 0.7 : 1.
C) 0.3 : 1.
D) 1 : 1.
E) 0.4 : 1.

Question

JEREMIAH THOMAS · Accepted Answer

Final Answer : A, Explanation :  The current ratio is calculated by dividing current assets by current liabilities.Current ratio = Current assets / Current liabilitiesSubstituting the given values:Current ratio = $193,000 / $137,000Current ratio = 1.41 : 1 approximatelyTherefore, the correct answer is A) 1.4 : 1.

Jones Corp.reported current assets of $193,000,current liabilities of $137,000,and total liabilities of $275,714 on its most recent balance sheet.The current ratio is:

A) 1.4 : 1.
B) 0.7 : 1.
C) 0.3 : 1.
D) 1 : 1.
E) 0.4 : 1.

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Jones Corp.reported current assets of $193,000,current liabilities of $137,000,and total liabilities of $275,714 on its most recent balance sheet.The current ratio is:A) 1.4 : 1.B) 0.7 : 1.C) 0.3 : 1.D) 1 : 1.E) 0.4 : 1.

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Jones Corp.reported current assets of $193,000,current liabilities of $137,000,and total liabilities of $275,714 on its most recent balance sheet.The current ratio is:

A) 1.4 : 1.
B) 0.7 : 1.
C) 0.3 : 1.
D) 1 : 1.
E) 0.4 : 1.