The following data were taken from the balance sheet of Albertini Company at the end of two
Question:
The following data were taken from the balance sheet of Albertini Company at the end of two recent fiscal years:
a. Determine for each year
(1) The working capital,
(2) The current ratio, and
(3) The quick ratio. Round ratios to one decimal place.
b. What conclusions can be drawn from these data as to the company’s ability to meet its currently maturing debts?
Transcribed Image Text:
Current Year Prior Year Current assets Cash Marketable securities Accounts and notes receivable (net) Inventories Prepaid expenses Total current assets $ 372,400 425,900 $ 285,500 326,400 531,700 408,100 343,200 210,600 146,800 $1.820,000 89,400 $1.320.000 Current liabilities Accounts and notes payable (short term) Accrued liabilities Total current liabilities $ 404,000 296,000 $ 700,000 $ 352.000 248,000 5 600,000
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Related Book For
Accounting
ISBN: 9781337902687
28th Edition
Authors: Carl S. Warren, Christine Jonick, Jennifer Schneider
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