Retail Ltd operates stores in numerous states. Selected financial statement data (in thousands of dollars) for the

Question:

Retail Ltd operates stores in numerous states. Selected financial statement data (in thousands of dollars) for the year ended 30 June 2016 are as follows:

For the year, net sales revenue was $1 109 934 and cost of sales was $628 197 (in thousands).

Required

(a) Calculate the working capital and current ratio at the beginning of the year and at the end of the current year.

(b) Did Retail Ltd’s liquidity improve or worsen during the year?

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Financial Accounting Reporting Analysis And Decision Making

ISBN: 9780730313748

5th Edition

Authors: Shirley Carlon, Rosina Mladenovic Mcalpine, Chrisann Palm, Lorena Mitrione, Ngaire Kirk, Lily Wong

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Question Posted: Sep 05, 2022 11:46 PM

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Retail Ltd operates stores in numerous states. Selected financial statement data (in thousands of dollars) for the

Question:

Cash Receivables (net) Merchandise inventory Other current assets Total current assets Total current liabilities End of year $ 8995 10711 184872 3848 $208 426 $129941 Beginning of year $ 17807 15992 187 890 1624 $223 313 $169549

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Financial Accounting Reporting Analysis And Decision Making

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