The following are taken from the balance sheet of

Juls Company as of December 31 , 200B :

Current Ratio= Current Assets / Current Liabilities
Current assets Current Ratio= 850,000 / 1,062,500
Cash on hand and in banks ( 341,600) Current Ratio= 0.8:1
Accounts Receivable ( 200,000)
Merchandise inventory ( 308,400) ( 850,000)

Liabilities Acid Test Ratio= Quick Assets/ Current Liabilities

Current Liabilities:
Notes payable ( 280,800) Cash on hand and in banks ( 341,600)
Accounts Payable ( 781,700) ( 1,062,500) Accounts Receivable ( 200,000)
Long-term liabilities ( 3,000,000) Total Quick Assets ( 541,600)
Total Current Liabilities ( 1,062,500)
Acid Test Ratio= 51%
What are company's current ratio and quick(acid test ratio)? Current Ratio= 0.8:1
Acid Test Ratio= 51%