Current Position Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current assets: Cash Marketable securities Accounts and notes receivable (net) Inventories Prepaid expenses Total current assets Current liabilities: Accounts and notes payable (short-term) Accrued liabilities Total current liabilities Current Year Previous Year 1. Working capital 2. Current ratio 3. Quick ratio $391,000 515,000 634,000 368,000 182,000 $2,090,000 $725,000 275,000 $1,000,000 $300,000 354,000 426,000 222,000 138,000 $1,440,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year $600,000 300,000 $900,000 Previous Year
Current Position Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current assets: Cash Marketable securities Accounts and notes receivable (net) Inventories Prepaid expenses Total current assets Current liabilities: Accounts and notes payable (short-term) Accrued liabilities Total current liabilities Current Year Previous Year 1. Working capital 2. Current ratio 3. Quick ratio $391,000 515,000 634,000 368,000 182,000 $2,090,000 $725,000 275,000 $1,000,000 $300,000 354,000 426,000 222,000 138,000 $1,440,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year $600,000 300,000 $900,000 Previous Year
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Current Position Analysis
The following data were taken from the balance sheet of
Nilo Company at the end of two recent fiscal years:
Current assets:
Cash
Marketable securities
Accounts and notes receivable (net)
Inventories
Prepaid expenses
Total current assets
Current liabilities:
Accounts and notes payable (short-term)
Accrued liabilities
Total current liabilities
1. Working capital
2. Current ratio
Current Year Previous Year
3. Quick ratio
$391,000
515,000
634,000
368,000
182,000
$2,090,000
$725,000
275,000
$1,000,000
a. Determine for each year (1) the working capital, (2) the
current ratio, and (3) the quick ratio. Round ratios to one
decimal place.
Current Year
$300,000
354,000
426,000
222,000
138,000
$1,440,000
$600,000
300,000
$900,000
LA
Previous Year](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F9268fd67-d695-436e-8284-d6fb501a00e6%2Feeca454f-acf6-4612-83b3-12bea64d97a4%2Ferxwele_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Current Position Analysis
The following data were taken from the balance sheet of
Nilo Company at the end of two recent fiscal years:
Current assets:
Cash
Marketable securities
Accounts and notes receivable (net)
Inventories
Prepaid expenses
Total current assets
Current liabilities:
Accounts and notes payable (short-term)
Accrued liabilities
Total current liabilities
1. Working capital
2. Current ratio
Current Year Previous Year
3. Quick ratio
$391,000
515,000
634,000
368,000
182,000
$2,090,000
$725,000
275,000
$1,000,000
a. Determine for each year (1) the working capital, (2) the
current ratio, and (3) the quick ratio. Round ratios to one
decimal place.
Current Year
$300,000
354,000
426,000
222,000
138,000
$1,440,000
$600,000
300,000
$900,000
LA
Previous Year
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