1. Based upon the results of your analysis in 1. above, assess the Company's overall liquidity position....
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Working Capital will vary in proportion to the size of the firm
Current Ratio is 2.00
Acid-Test (Quick) Ratio is 1.60
2. Explain how Working Capital and Current Ratio are related. Would you expect firms with large amounts of Working Capital to always have high Current Ratios?
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Related Book For
Accounting What the Numbers Mean
ISBN: 978-1260565492
12th edition
Authors: David Marshall, Wayne McManus, Daniel Viele
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