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17 August, 11:38

The fiscal 2018 balance sheet for Whole Foods Market reports the following data (in millions). What is the company's current ratio?

Cash equivalents $351

Marketable Securities $379

Accounts receivable $242

Merchandise inventories $517

Current assets $1,975

Current liabilities $1,341

(A) 0.69

(B) 1.38

(C) 0.72

(D) 1.47

(E) None of the above

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  1. 17 August, 11:57
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    (D) 1.47

    Explanation:

    The Current Ratio tells how many dollars of current asset are per dollar of current debts in a company. This gives an idea of the company's ability to perform its debts.

    Current Ratio = Current Asset / Current Liabilities

    Current Ratio = 1,975 / 1,341

    Current Ratio = 1,47
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