Question: Working Capital and Current Ratio The following data (in thousands) were taken from recent financial statements of Starbucks Corporation: Current assets Current liabilities Year 2
Working Capital and Current Ratio The following data (in thousands) were taken from recent financial statements of Starbucks Corporation: Current assets Current liabilities Year 2 Year 1 $130,226 $94,266 35,484 26,258 a. Compute the working capital and the current ratio for Year 2 and Year 1. Enter working capital amounts in thousands of dollars. Round "current ratio" answers to two decimal places. Year 2 Year 1 Working capital $ Current ratio b. What conclusions concerning the company's ability to meet its financial obligations can you draw from part (a)? Starbucks' working capital Starbucks's current ratio current ratio indicate that short-term creditors receiving payment from Starbucks. from Year 1 to Year 2 by $ in Year 2. The changes in working capital and concerned about
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