EX 14-8 Current position analysis OB 3 The bond indenture for the 10-year, 9% debenture bonds issued January 2, 2015, required working capital of $100,000, a current ratio of 1.5, and a quick ratio of 1.0 at the end of each calendar year until the bonds mature. At December 31, 2016, the three measures were computed as follows: 1. Current assets PAPA Temporary Investments Accounts and notes receivable (net) Inventories Prepaid expenses Intangible assets 2014 Property, plant, and equipment. Total current assets inech Current liabilities: Accounts and short-term hotes payable Accrued liabilities Total current liabilities Working capital Current ratio Quick ratio 0 12 $102.000 $ $4.000 2014 (300.000) $510.000 $300,000 3. List the errors in the determination of the three measures of current position analysis. Is the company satisfying the term of the bond indenture?

EX 14-8 Current position analysis The bond indenture for the 10-year, 9N debenture bonds tssued January 2, 20Y5, required working capital of $100,000, a current ratio of 1.5 , and a quitk fatio of 1.0 at the ead of each calendar year until the bonds mature. At December 31 , 20Y6, the three measures were conputed as folliows: 2. List the erfors in the determination of the three measures of currecit ponition anblysis h is the eompany satisfying the termfof the bond indenture