Calculate the current ratio for each business below. Which business has the best short term solvency...
Calculate the current ratio for each business below. Which business has the best short term solvency position given your calculations? SHOW WORK
| Company | Current Assets | Total Assets | Current Liabilities | Total Liabilities | Net Income | Current Ratio | ||
| Alpha | 74,524 | 168,672 | 60,100 | 150,600 | 94,958 | |||
| Beta | 207,536 | 290,290 | 152,600 | 203,000 | 207,536 | |||
| Gamma | 60,125 | 66,929 | 32,500 | 52,700 | 36,725 | |||
| Delta | 95,335 | 182,520 | 82,900 | 135,200 | 105,283 |
Homework Answers
Alpha
Current ratio = Current Assets / Current liabilities
= 74,524 / 60,100
= 1.24
Beta
Current ratio = Current Assets / Current liabilities
= 207,536 / 152,600
= 1.36
Gamma
Current ratio = Current Assets / Current liabilities
= 60,125 / 32,500
= 1.85
Delta
Current ratio = Current Assets / Current liabilities
= 95,335 / 82,900
= 1.15
Gamma has the best short term solvency position as its current ratio is 1.85
Add Answer to:
Calculate the current ratio for each business below. Which
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A. Required: 1. Please calculate the following ratios and amounts: a) working capital, current ratio, acid-test...
A.
Required:
1. Please calculate the following ratios and amounts: a) working
capital,
current ratio, acid-test ratio, cash to current liabilities ratio,
days’ sales
in receivables (based on ending accounts receivables), days’ sales
in
inventory (based on cost of goods and ending inventory), operating
cycle,
total debt to equity ratio and times interest earned. For your
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current ratio, acid-test ratio, cash to current liabilities ratio,
days’ sales
in receivables (based on ending accounts receivables), days’ sales
in
inventory (based on cost of goods and ending inventory), operating
cycle,
total debt to equity ratio and times interest earned. For your
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assume that a year amounts for 360 days
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part 3 is complete in 2 pictures ..
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5.
6. what is amount of working capital?
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A.
Required:
1. Please calculate the following ratios and amounts: a) working
capital, b)
current ratio, c) acid-test ratio, d) cash to current liabilities
ratio, e) days’ sales
in receivables (based on ending accounts receivables), f) days’
sales in
inventory (based on cost of goods and ending inventory), g)
operating cycle,
h) total debt to equity ratio and i) times interest earned. For
your calculations,
assume that a year amounts for 360 days
The balance sheet and the income statement...
Calculate the ratios below given the financial data presented to your left. Answers Measures of Short-term Liquidity current assets / current liabilities quick assets / current liabilities net sales /accounts receivable 365 days/receivables turnover rate cost of goods sold/inventory current ratio quick ratico receivables turnover rate days to collect receivables inventory turnover rate Measures of Long-term Credit Risk total liabilities/total assets operating income /annual interest expense debt ratio Times Interest Earned Measures of Profitability net income / sales net income/total...
A.
Required:
1. Please calculate the following ratios and amounts: a) working
capital,
current ratio, acid-test ratio, cash to current liabilities ratio,
days’ sales
in receivables (based on ending accounts receivables), days’ sales
in
inventory (based on cost of goods and ending inventory), operating
cycle,
total debt to equity ratio and times interest earned. For your
calculations,
assume that a year amounts for 360 days
The balance sheet and the income statement of “Omega” Company containing data in € is...
A.
Required:
1. Please calculate the following ratios and amounts: a) working
capital,
current ratio, acid-test ratio, cash to current liabilities ratio,
days’ sales
in receivables (based on ending accounts receivables), days’ sales
in
inventory (based on cost of goods and ending inventory), operating
cycle,
total debt to equity ratio and times interest earned. For your
calculations,
assume that a year amounts for 360 days
The balance sheet and the income statement of “Omega” Company containing data in € is...
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1. calculate current ratio?
2. calculate the quick ratio of this company?
3.
3.
part 3 is complete in 2 pictures ..
4. what is compro' debt ratio?
5.
6. what is amount of working capital?
7. what does the working capital of company show?
please please solve all 7 part. I really need it.
thanks
[The following information applies to the questions displayed below.) Shown below are selected data from the balance sheet of Compros, a small electronics store...
Zandi's Technologies: December 31 Balance Sheets (Thousands of Dollars) Assets Cash and cash equivalents Short-term investments Accounts Receivable Inventories Total current assets Net fixed assets Total assets 2018 $21,000 3.759 52 500 84.000 $161,259 218.400 $379,659 2017 $20,000 3,240 48.000 56.000 $127,240 200.000 $327,240 2016 $21,053 $3,411 $50.526 $58,947 $133,937 200.000 $333,937 Liabilities and equity Accounts payable Accruals Notes payable Total current liabilities Long-term debt Total liabilities Common stock Retained Earnings Total common equity Total liabilities and equity $33,600 12,600...
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