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If X Company Ltd.’s Current Ratio is 5.5:1, Quick Ratio is 4:1, Inventory is $30,000; what are its current liabilities?

Accounting Financial Accounting Financial Management
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Question added by VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.
Date Posted: 2015/03/18
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Ahmed kandil
by Ahmed kandil , Cost Controller , Battour Holding Cpompany

The decrease percentage in acid ratio after deduct inventory equal (5.5-4)/5.5 =27.2%... Thus total current asset will be30000÷27.2% =110000 ( after approximate number)Thus total current liabilities will be110000÷5.5 =20000 .. So current liabilities will be20000.....thank you

Mir Mujtaba Ali
by Mir Mujtaba Ali , Internal Audit Manager , Confidential

Current liability would be $20000

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fadil hoory
by fadil hoory , محاسب , شركة مقاولات بالسعودية

30000 ×5.5 =165000

165000 -30000=135000

30000×4 =120000

120000 -30000=90000

 

135000 -90000 =

45000   

its current liabilities

Chandrashekhar Naini
by Chandrashekhar Naini , Head IT , Tech Mahindra Business Services Ltd

Current Liability = $20,000

Malik Khalid Mahmood
by Malik Khalid Mahmood , Regional Finance Manager , Leosons International FZ LLC

Not complete data available

Anas Dawah
by Anas Dawah , Senior Internal Auditor , Talal Abu-Ghazaleh Global (TAGI)

Current Liabilities =21428.6

Mark Angelo Damuag
by Mark Angelo Damuag , Financial Analyst , Evacare Management Consultancy Inc

The current liabilities is21,428.57; derived by extracting each equation and doing the arithmetic.

Ankit Dhiman

Seventy twenty twenty two four

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