# Question

Large Land Photo Shop has asked you to determine whether the company’s ability to pay current liabilities and total liabilities improved or deteriorated during 2015. To answer this question, you gather the following data:

Compute the following ratios for 2015 and 2014, and evaluate the company’s ability to pay its current liabilities and total liabilities:

a. Current ratio

b. Cash ratio

c. Acid-test ratio

d. Debt ratio

e. Debt to equityratio

Compute the following ratios for 2015 and 2014, and evaluate the company’s ability to pay its current liabilities and total liabilities:

a. Current ratio

b. Cash ratio

c. Acid-test ratio

d. Debt ratio

e. Debt to equityratio

## Answer to relevant Questions

The CJ, Inc. comparative income statement follows. The 2014 data are given as needed.Requirements 1. Calculate the profit margin for 2016 and 2015. 2. Calculate the rate of return on total assets for 2016 and 2015. 3. ...Net sales revenue, net income, and common stockholders’ equity for Azbel Mission Corporation, a manufacturer of contact lenses, follow for a four-year period. Requirements 1. Compute trend analyses for each item for ...Net sales revenue, net income, and common stockholders’ equity for Shawnee Mission Corporation, a manufacturer of contact lenses, follow for a four-year period.Requirements 1. Compute trend analyses for each item for ...ABC Company had a bad year in 2014; the company suffered net losses. Due to the losses, some of the measures of return deteriorated. Assume top management of ABC is pondering ways to improve its ratios for the following ...How do period costs differ from product costs?Post your question

0