The comparative financial statements of Southside Pools, Inc., for 2015, 2014, and 2013 included the following select

Question:

The comparative financial statements of Southside Pools, Inc., for 2015, 2014, and 2013 included the following select data:


The comparative financial statements of Southside Pools, Inc., for 2015,


Requirements
1. Compute these ratios for 2015 and 2014:
a. Current ratio
b. Quick (acid-test) ratio
c. Days’ sales in receivables
2. Which ratios improved from 2014 to 2015 and which ratios deteriorated? Is this trend favorable or unfavorable?
3. Recommend two ways for Southside Pools, Inc., to improve cash flow fromreceivables.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
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Related Book For  book-img-for-question

Financial Accounting

ISBN: 978-0133427530

10th edition

Authors: Walter Harrison, Charles Horngren, William Thomas

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