Canadian Bacon Inc. financial statements are presented in the table below. Based on the information in the table, calculate the firm's acid-test...

Canadian Bacon Inc. financial statements are presented in the table below.

Based on the information in the table, calculate the firm's acid-test ratio (quick ratio).

Round the answers to two decimal places 

Balance Sheet December 31, 2015

Cash and marketable securities$187,000Accounts payable $217,000

Accounts receivable$498,000Notes payable$51,500

Inventories$799,000Accrued expenses$58,300

Prepaid expenses$19,300Total current liabilities$326,800

Total current assets$1,503,300Long-term debt$215,400

Gross fixed assets$1,978,000Par value and paid-in-capital$128,000

Less: accumulated depreciation$478,000Retained Earnings$2,333,100

Net fixed assets $1,500,000Common Equity2,461,100

Total assets$3,003,300Total liabilities and owner's equity$3,003,300

Income Statement, Year of 2015

Net sales (all credit)$5,386,600.00

Less: Cost of goods sold$3,716,754.00

Selling and administrative expenses$329,000.00

Depreciation expense$138,000.00

EBIT$1,202,846.00

Interest expense$39,600.00

Earnings before taxes$1,163,246.00

Income taxes$465,298.40

Net income $697,947.60

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