The financial statements of The Hershey Company are presented in Appendix B, following the financial statements for

Question:

The financial statements of The Hershey Company are presented in Appendix B, following the financial statements for Tootsie Roll Industries in Appendix A.

Instructions

(a) Based on the information in these financial statements, compute these 2009 ratios for each company:

(1) Current cash debt coverage.

(2) Cash debt coverage.

(b) What conclusions about the management of cash can you draw from these data?

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...