a)
Apple's current ratio = Current assets / Current liabilities
= $75.96 billion / $75.93 billion
= 1.0003951 or 1.00 times (rounded)
b)
Apple's quick ratio = (Current assets - Inventory) / Current
liabilities
= ($75.96 billion - $2.45 billion) / $75.93 billion
= 0.9681 times or 0.97 times(rounded).
c)
Hewlett-Packard had quick ratio of 0.66 and current ratio of 0.90.
Apple's quick ratio is 0.97 and current ratio of 1. Apple has very
good financial background and it is performing very well in terms
of current ratio and in terms of liquidity ratio. Apple can easily
manage their day to day activities and easily pay current
liabilities because it has high liquidity.
FEEL FREE TO ASK DOUBTS.
NOTE: As per HOMEWORKLIB RULES, only first question can be answered. Post rest of the question separately.
In December 2015, Apple had cash of $37.87 billion, current assets of 575.96 billion, and current...
In December 2015, Apple had cash of $38.16 billion, current assets of $76.34 billion, and current liabilities of $76.23 billion. It also had inventories of $2.45 billion. a. What was Apple's current ratio? b. What was Apple's quick ratio? c. In January 2016, Hewlett-Packard had a quick ratio of 0.66 and a current ratio of 0.90. What can you say about the asset liquidity of Apple relative to Hewlett-Packard? a. What was Apple's current ratio? Apple's current ratio was(Round to...
ets WE y ay ppl In December 2015, Apple had cash of $38.07 billion, current assets of $76.22 billion, and current liabilities of $76.09 billion. It also had inventories of $2.45 billion a. What was Apple's current ratio? b. What was Apple's quick ratio? c. In January 2016, Hewlett-Packard had a quick ratio of 0.66 and a current ratio of 0.90. What can you say about the asset liquidity of Apple relative to Hewlett-Packard? a. What was Apple's current ratio?...
In July 2007, Apple had cash of $7.08 billion, current assets of $18.74 billion, current liabilities of $6.98 billion, and inventories of $0.21 billion. (a) What was Apple's current ratio? Answer (b) What was Apple's quick ration? Answer (c) In July 2007, Dell had a quick ratio of 1.29 and a current ratio of 1.35. What can you say about the asset liquidity of Apple relative to Dell? 1. Apple has significantly more debt than Dell. 2. Dell has significantly...