Problem:
Construct the current assets section of the balance sheet from the following data. (Use cash as a plug figure after computing the other values.)
| Yearly sales (credit) |
$420,000 |
| Incentory turnover |
7 times |
| Current Liabilities |
$80,000 |
| Current ratio |
2 |
| Average Collection period |
36 days |
| Current assets: |
$ |
| Cash |
___________
|
| Account reciveables |
___________
|
| Inventory |
___________
|
| Total current assets |
____________
|