Evaluate Financial Performance And Position Practice Test

A company reports: net income $180,000, depreciation $40,000, increase in accounts receivable $65,000, increase in inventory $30,000, and decrease in accounts payable $20,000. Using the indirect method, what is cash flow from operations?

A company has current assets of $840,000, current liabilities of $280,000, inventory of $200,000, and prepaid expenses of $40,000. What is the quick ratio?