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Question
Crafter Company has the following assets and liabilities:
Assets
Cash $28,000
Accounts receivable 15,000
Inventory 20,000
Equipment 50,000
Liabilities
Current portion of long-term debt $10,000
Accounts payable 2,000
Long-term debt 25,000
Determine the quick ratio (rounded to one decimal place).
a. 5.3
b. 3.6
c. 3.3
d. 2.3
Answer
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