The following information is available for Morgan Company and Parker Company, similar firms operating in the same industry. Write a half-page report comparing Morgan and Parker using the available information. Your discussion should include their ability to meet current obligations and to use current assetsefficiently.

Transcribed Image Text:

Morgan Parker 2014 2013 2012 2014 3.2 2.8 16.4 14.5 1.6 1.0 1.1 30.5 25.2 21.9 2013 2012 1.9 2.5 1.6 15.2 16.0 13.0 12.6 1.7 Current ratio Acid-test ratio Accounts receivable turnover Merchandise inventory turnover24.2 Working capital 2.1 1.2 29.2 17.1 2.7 $70,000 $58,000 $52,000 $131,000 $103,000 $78,000