The following data are for Toy Company:

Required

a. Compute the amount of working capital at both year-end dates.

b. Compute the current ratio at both year-end dates.

c. Compute the acid-test ratio at both year-end dates.

d. Compute the cash flow liquidity ratio at both year-end dates.

e. Comment briefly on the company's short-term financial position.

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Allowance for uncollectible accounts Prepaid expenses Accrued liabilities Cash in Bank A Wages payable December 31 2000 1999 $ 72,000 $ 57,000 34,500 45,000 210,000 186,000 1,095,000 975,000 -0- 37,500 Accounts payable 714,000 585,000 Merchandise inventory 1,342,500 1,437,000 Bonds payable, due in 2001 615,000 594,000 Marketable securities 217,500 147,000 Notes payable (due in six months) 300,000 195,000 Accounts receivable.. 907,500 870,000 Cash flow from operating activities 192,000 180,000