Forman and Brasso Furniture Company had cash of $182,400, accounts receivable of $126,200, and current liabilities of $295,400. Compute the acid test ratio.

Current Liabilities

Debts or obligations that are due to be paid within one year or within the normal operating cycle of the business, whichever is longer.

Accounts Receivable

Money owed to a business by its customers for goods or services that have been delivered but not yet paid for.