The dhiel financial l how the company stood He knows that ce

The dhiel financial l how the company stood. He knows that certain debt agreements with its credlos CE Sheridan Company Balance Sheet December 30, 2017 urrent asnets Cash Accounts tecelvale Prepald inurance 27,000 31.300 ,200 64,500 201,300 $265 ,800 Equipment (et) Total assets Current labilities 1 22,000 Accounts payable Salartes and wages pavable 1,300 33.300 Long -term liabilities 1,200 14,500 Notes pavable otal abies Stockholders equity Common stock 00.00 Ratained namings 1.300151.300 Total abties and stockhoiders equit (a) Calcuilats the current ratlo and working capital based on the oreliminary bailance sheet (Rouod Current Rotio to t decimal plece o. o Current ratio Click it you would like to Show Work for this question

Solution

Current ratio = Current assets/Current liabilities = 64500/33300= 1.9 Working capital = Current assets-Current liabilities = 64500-33300= 31200