Question

ACC 231 Uses of Financial Accounting ShaDonna Morris &1 4/22/19 1:00 PM Homework: HW #11 (Ch.12-Financial Analysis) Save Score: 0.5 of 1 pt 1 of 10 (1 complete) Hw Score: 5%, 0.5 of 10 pt E12-17A (similar to) * ΕΞ Question Help Rod Hewitt Winery requested that you determine whether the company's abity to pay its current liabilities and long-term debts improved or deteriorated during 2018 To answer this question, compute the following ratios for 2018 and 2017: (a) current ratio, (b) quick ratio, (c) debt ratio, and (d) interest coverage ratio. Round all ratios to two decimal places. Summarize the results of your analysis. (Click the icon to view the financial information.) To answer this question, compute the following ratios for 2018 and 2017: (a) current ratio, (b) quick ratio, (e) debt ratio, and (d) ratio. Round all ratios to two decimal places. Abbreviations used: A g = Average, EBIT Earrings befo e interest and taxes, LT+ Long term, and ST-Short-term Begin with a. current ratio. Select the formula and then enter the amounts to calculate the current ratios Current assets Current liabilities Current ratio 2018 2017 Choose from any list or enter any number in the input fields and then click Check Answer 4 remsaining parts Clear All Check Answer ar to) ㄧㄨ 6 Data Table that you d pute the fo narize the r e financial mpro teres 2018 2017 mpute the fo reviations u terest = Sho Short-term investments.... Accounts receivable, net Inventory Prepaid expenses.... Total assets. 3,000 181,000 97,000 410,000 310,000 10,000 11,000 770,000 490,000 180,000 246,000 20,000 enter the a sets Long-term note payableI Income from operations.... 130,000 121,000 nter any nun PrintDone

Answer 1

Req 1.
Current Rattio:
Year	Currentt assets    /		Current Liabilities   =		Current Ratio
2018	696000 /		180000 =		3.87
2017	487000 /		270000 =		1.8