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A company began the month of May with $200,000 of current assets, a 2.5 to 1 current ratio, and a 1.25 to 1 acid-test ratio. During the month, it completed the following transactions:
Required:
- Indicate the effect on current ratio assuming each transaction is independent of the others.
- At the end of May, and taking all the above transactions into account, what was
- The current ratio?
- The acid-test ratio?
Use the following format:
- 1085 reads
