Fit and Fantastic Ltd produces and sells a range of fitness equipment. Its capital expenditure for the

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Fit and Fantastic Ltd produces and sells a range of fitness equipment. Its capital expenditure for the current year for new plant was $600000 and dividends paid were $80000. Current liabilities and non-current liabilities were $112000 and $1400000 respectively. Sales for the current year were $1050000 and net cash flow from operating activities was $176000. Compute and interpret the cash flow ratio, debt coverage ratio and cash flow to sales ratio.

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Accounting Business Reporting For Decision Making

ISBN: 9780730369325

7th Edition

Authors: Jacqueline Birt, Keryn Chalmers, Suzanne Maloney, Albie Brooks, Judy Oliver, David Bond

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