This case, based on Gildan Activewear Inc.'s balance sheet in Appendix A at the end of this
Question:
Required
1. Compare Gildan Activewear's balance sheet to the balance sheet in Exhibit 4-14 on page 204. What differences in style do you notice between these two balance sheets? Describe these differences.
2. What is the value of Gildan's total current assets in 2011? In 2010?
3. What is the value of the total current liabilities in 2011? In 2010?
4. Compute Gildan's current ratio at October 2, 2011, and at October 3, 2010. Did the ratio improve or deteriorate during the year?
5. Compute Gildan's debt ratio for the fiscal years ended 2011 and 2010. Did the ratio improve or deteriorate during the year?
6. What is the main purpose of the notes to the financial statements?
Step by Step Answer:
Accounting Volume 1
ISBN: 978-0132690096
9th Canadian edition
Authors: Charles T. Horngren, Walter T. Harrison, Jo Ann L. Johnston, Carol A. Meissner, Peter R. Norwood