City A\'s balance sheet is shown below. Calculate the following: Current Ratio,
ID: 2588219 • Letter: C
Question
City A's balance sheet is shown below. Calculate the following: Current Ratio, Working capital, quick ratio, and the common-size ratio for cash, advance payments, receivables, and restricted assets. Show Work
City A Assets ($) Cash 294,203 Investments 1,789,353 Receivables 379,756 Inventory 21,358 Other Non-Current Assets 32,249 Capital Assets (at cost) Non-Depreciable 1,993,589 Depreciable Net 2,741,898 Total Assets 7,252,406 Liabilities ($) Accounts Payable 97,899 Trust Liabilities and Deposits 37,628 Advance Payments 18,460 Matured Bonds Payable 90,640 Interest Payable 68,827 Non-Current Liabilities Due in Less Than One Year 122,171 Due in More Than One Year 2,440,207 Total Liabilities 2,875,832 Net Assets ($) Net Investment in Capital Assets 2,454,765 Restricted Assets 930,237 Unrestricted Assets 991,572 Total Net Assets 4,376,574 Total Liabilities & Net Assets 7,252,406Explanation / Answer
1 Current Assets $ Cash 294203 Receivables 379756 Inventory 21358 Total 695317 Current Liabilities $ Accounts Payable 97899 Advanced Payments 18460 Matured Bonds Payable (Assuming Payable within a Year) 90640 InterestPayable 68827 NCL Due in One Year 122171 Total 397997 Current Ratio= Current Assets/Current Liabilities 1.75 2 Working Capital Ratio= Current Assets-Current Liabilities $297320 Quick Ratio= Current Assets-Stock/Current Liabilities 1.69 3 Common Size Ratio $ Cash 294203 4.06% Accounts Payable 97899 1.35% Receivables 379756 5.24% Restricted Assets 930237 12.83% Total Assets (As Given in Question) 7252406