Calculate dr''s quick ratio, Financial Econometrics

Assignment Help:

Q. Calculate DR's quick ratio?

DR has the following balances under current assets and current liabilities:

Current assets

$

Current liabilities

$

Inventory

50,000 

Trade payables

88,000

Trade receivables

70,000 

Interest payable

7,000

Bank

10,000

 

 

Calculate DR's quick ratio.

Solution:

Quick ratio      =   (current assets -inventory) / current liabilities

=   (70,000 + 10,000) / (88,000 + 7,000)

=   0.84


Related Discussions:- Calculate dr''s quick ratio

Prepare a cash budget statement, Loudfire Safaris have requested you to pre...

Loudfire Safaris have requested you to prepare a cash budget for the period ending 31 March 2013. The following projections have been made for the next 4 months

Maximize total revenue, The demand equation for Good Y is given by      ...

The demand equation for Good Y is given by             P = 900/q - 0.48q + 100       q > 0 In this question use derivatives to explore the relationship between the demand for

Calculate invest in the risk-free asset, Question You want your portfol...

Question You want your portfolio beta to be 1.20. Currently, your portfolio consists of $100 invested in stock A with a beta of 1.4 and $300 in stock B with a beta of .6. You h

ASSIGNMENT, I have an assignment I need help understanding how to do step b...

I have an assignment I need help understanding how to do step by step abouot predictability on excess returns

Show the quick ratio or acid test, Q. Show the Quick ratio or acid test? ...

Q. Show the Quick ratio or acid test? Quick ratio = Current assets less inventories/Current liabilities (times) This ratio measures immediate solvency of a business as it re

Financial markets and institutions , I have a case study to do for my fina...

I have a case study to do for my financial markets and institutions subject. I''ve been struggling with one of the questions. So I need help if possible, the question is "What do y

Calculate the expected value, Gabi wishes to purchase an apartment in Berea...

Gabi wishes to purchase an apartment in Berea Johannesburg which is situated in a quiet street. The purchase price, including costs, is R355 000 and she wishes to obtain a 100% mor

What will be the effect of transaction, A company's current assets are less...

A company's current assets are less than its current liabilities. Company issues new shares at full market price. What will be the effect of this transaction upon company's work

Explain working capital ratios, Q. Explain Working capital ratios? Rati...

Q. Explain Working capital ratios? Ratios are a way of comparing financial values and quantities to improve our understanding. In particular they are used to assess the perform

Distinguish between endogenous and exogenous variables, Question: (a) D...

Question: (a) Distinguish between endogenous and exogenous variables in a simultaneous equation model? b) Write down two equations which can be solved simultaneously, deter

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd