A retailer has $100,000 in cash, $300,000 in accounts receivable, $500,000 in inventory, $200,000 in marketable securities, and $800,000 in total current liabilities. What is its current ratio?

A retailer has $100,000 in cash, $300,000 in accounts receivable, $500,000 in inventory, $200,000 in marketable securities, and $800,000 in total current liabilities. What is its current ratio?


a. 0.375

b. 0.5

c. 1.125

d. 1.375


Answer: D


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Marketing Chapter 12

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