ExpertEasy1 markShort Answer
ACCA · Question 61 · Interpretation of Financial Statements
Section B - Case 2: Single Entity Accounts
Scenario: AquaHarvest Marine Farms
AquaHarvest prepares its financial statements for the year ended 30 September 20X6.
Draft Revenue: $500,000
Draft Cost of Sales: $300,000
Draft Current Assets: $60,000
Draft Current Liabilities: $40,000
Calculate the draft Current Ratio. (Enter the number only, rounded to one decimal place, e.g., 1.5)
Section B - Case 2: Single Entity Accounts
Scenario: AquaHarvest Marine Farms
AquaHarvest prepares its financial statements for the year ended 30 September 20X6.
Draft Revenue: $500,000
Draft Cost of Sales: $300,000
Draft Current Assets: $60,000
Draft Current Liabilities: $40,000
Calculate the draft Current Ratio. (Enter the number only, rounded to one decimal place, e.g., 1.5)
How to approach this question
Current Ratio = Current Assets / Current Liabilities.
Full Answer
Current Ratio = Current Assets ($60,000) / Current Liabilities ($40,000) = 1.5.
Common mistakes
Inverting the formula (Liabilities / Assets).
Practice the full ACCA FA — Financial Accounting Practice Exam 5
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