Brewster Company has an acid-test ratio of 1.5 and a current ratio of 2.5. Current...
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Accounting
Brewster Company has an acid-test ratio of 1.5 and a current ratio of 2.5. Current assets equal $200,000, of which $10,000 is prepaid expenses. The company's current assets consist of cash, marketable securities, accounts receivable, prepaid expenses, and inventory. Brewster Company's inventory must be:
A: 30,000
B: 110,000
C: 70,000
D: 80,000
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