Grant Film Productions wishes to expand and has borrowed $

By admin / June 20, 2020

Grant Film Productions wishes to expand and has borrowed $100000. As a condition for making this loan the bank requires that the business maintain a current ratio of at least 1.50. Business has been good but not great. Expansion costs have brought the current ratio down to 1.40 on December 15. Rita Grant owner of the business is considering what might happen if she reports a current ratio of 1.40 to the bank. One course of action for Grant is to record in December $10000 of revenue that the business will earn in January of next year. The contract for this job has been signed. Requirements

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