Adam Samuel Corporation has the following list of accounts and balances after posting its closing entries: Adam Samuel Corporation Trial Balance 31-Dec-20 Debit Credit Cash $24, 500 Accounts receivable 5, 400 Supplies 850 Prepaid insurance 2,100 Building 40, 500 Accumulated depreciation - building $7,500 Equipment 22, 300 Accumulated depreciation - equipment 3,400 Accounts payable 6,500 Unearned service revenue 8,400 Salary payable 900 Common shares 50, 200 Retained earnings 18,750 $95,650 $95, 650 Calculate the current ratio and the debt ratio. Assume the unearned service revenue will be earned within six months. Round to two decimals.

Adam Samuel Corporation has the following list of accounts and balances after posting its closing entries: Adam Samuel Corporation Trial Balance 31-Dec-20 Debit Credit Cash $24, 500 Accounts receivable 5, 400 Supplies 850 Prepaid insurance 2,100 Building 40, 500 Accumulated depreciation - building $7,500 Equipment 22, 300 Accumulated depreciation - equipment 3,400 Accounts payable 6,500 Unearned service revenue 8,400 Salary payable 900 Common shares 50, 200 Retained earnings 18,750 $95,650 $95, 650 Calculate the current ratio and the debt ratio. Assume the unearned service revenue will be earned within six months. Round to two decimals.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter6: Cash And Receivables

Section: Chapter Questions

Problem 11RE: On December 1 of the current year, Jordan Inc. assigns 125,000 of its accounts receivable to...

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