1- Which of the following is not a current asset?

Inventory
 
Prepaid Insurance
 
Fixtures

2- Current asset MINUS current liabilities is the

Current Ratio
 
Net Worth
 
Working Capital

3- Current assets DIVIDED BY current liabilities is the

Current Ratio
 
Net Worth Ratio
 
Working Capital

4- The quick ratio EXCLUDES which of the following?

Accounts Receivable
 
Inventory
 
Cash

5- The company's working capital is

$60,000
 
$66,000
 
$196,000
6- The company's current ratio is
1.0 : 1
 
2.0 : 1
 
2.1 : 1

7- The company's quick ratio is

0.7 : 1
 
1.0 : 1
 
2.0 : 1

Use the following information to answer items 8 - 11:

For its most recent year a company had Sales (all on credit) of $830,000 and Cost of Goods Sold of
$525,000. At the beginning of the year its Accounts Receivable were $80,000 and its Inventory was
$100,000. At the end of the year its Accounts Receivable were $86,000 and its Inventory was $110,000.

8- The inventory turnover ratio for the year was

4.8
 
5.0
 
7.9

9- The accounts receivable turnover ratio for the year was

6.3
 
7.5
 
10.0

10- On average how many days of sales were in Accounts Receivable during the year?
27
 
37
 
49

11- On average how many days of sales were in Inventory during the year?
14
 
46
 
73