EX 17-6 Current position analysis OBJ. 3 The following data were taken from the balance sheet of Albertini Company at the end of two recent fiscal years: Current Year Prior Year Current assets: $ 372,400 $ 285,500 326,400 Cash Marketable securities Accounts and notes receivable (net) 425,900 531,700 343,200 408,100 Inventories 210,600 Prepaid expenses Total current assets 146,800 $1.820,000 89,400 $1,320,000 Current liabilities: $ 352,000 Accounts and notes payable (short-term) Accrued liabilities $ 404,000 296,000 S 700,000 248.000 $ 600,000 Total current liabilities a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. b. What conclusions can be drawn from these data as to the company's ability to meet its currently maturing debts?
EX 17-6 Current position analysis OBJ. 3 The following data were taken from the balance sheet of Albertini Company at the end of two recent fiscal years: Current Year Prior Year Current assets: $ 372,400 $ 285,500 326,400 Cash Marketable securities Accounts and notes receivable (net) 425,900 531,700 343,200 408,100 Inventories 210,600 Prepaid expenses Total current assets 146,800 $1.820,000 89,400 $1,320,000 Current liabilities: $ 352,000 Accounts and notes payable (short-term) Accrued liabilities $ 404,000 296,000 S 700,000 248.000 $ 600,000 Total current liabilities a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. b. What conclusions can be drawn from these data as to the company's ability to meet its currently maturing debts?
Chapter1: Financial Statements And Business Decisions
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
Transcribed Image Text:EX 17-6 Current position analysis
The following data were taken from the balance sheet of Albertini Company at the end of
two recent fiscal years:
OBJ. 3
Va. Current year
working capital,
$1,120,000
Current Year
Prior Year
Current assets:
$ 372,400
425,900
$ 285,500
326,400
Cash
SHOW
ME HOW
Marketable securities
Accounts and notes receivable (net)
531,700
408,100
Inventories
343,200
210,600
Prepaid expenses
Total current assets
89,400
$1,320,000
146,800
EXCEL
ONLINE
$1,820,000
Current liabilities:
$ 404,000
296,000
$ 700,000
Accounts and notes payable (short-term)
$ 352,000
Accrued liabilities
248,000
Total current liabilities
$ 600,000
a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the
quick ratio. Round ratios to one decimal place.
b.
What conclusions can be drawn from these data as to the company's ability
to meet its currently maturing debts?
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