Question

The trial balance of a company included the following account balances: Cash, $25,000, Short-Term Investments, $10,000, Accounts Receivable, $40,000, Inventory, $90,000, and Prepaid Insurance, $12,000 its quick assets totat a) $35,000 b) $125,000 c) $75,000 d) $165,000 e) $50,000

Answer 1

$75,000

Step-by-step explanation:

The trail balance of a company include the following

Cash of $25,000

Short term investments of $10,000

Account receivable of $40,000

Inventory of $90,000

Prepaid insurance of $12,000

Therefore it's quick assets Total can be calculated as follows

=account receivable + cash + short term investments

= $40,000+$25,0000+$10,000

= $65,000+$10,000

= $75,000