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2 0 2 1 financial data table [ [ Solo Inc., ] , [ 2 0 2 1 Financial Data, ] , [ Credit
financial data
tableSolo Inc., Financial Data,Credit Sales December Cash Sales December Other Income December Interest IncomeDecember Depreciation December Rent December Wages & Salaries December Advertising December Insurance December Interest December Income Taxes December Inventory December Accounts Receivable December Prepaid Expenses December Furniture & Equipment December Accum Depreciation Furniture & Equipment December Income Tax ReceivableDecember Accounts PayableDecember Salaries Payable December Accrued Liabilities December State Tax Payable December Capital Stock December Net cash provided by operating activities December Net cash used by investing activities December Net cash used by financing activities December Cash December Cost of Goods Availale for Sale December Retained Earnings December and financial ratios
Note: Assume the following:
The financial information provided to you is the only information available.
The liquidity ratios provided in this project are the only available for
decision making.
Question
Based on the financial statements of Solo Inc., perform a trend analysis for the liquidity
ratios for and Interpret the results of the trendratios ie what do the
trend and ratios tell vou about the company?Solo Inc. is a publicly listed furniture company. The company is well known for manufacturing furniture for major hospitals and organizations in the United States and Europe. The company has experienced significant growth in recent years due to the increased demand for its quality products. Although the company is very profitable and is determined to maintain its profitability trend, its strategic focus in the last three years has been to manage its liquidity. The company has consulted you to analyze its financial data to determine if it is managing its liquidity effectively.
Additional Information Provided
The following additional information has been provided:
selected account balances
tableSelected Financial Data Current Assets,$December Current Liabilities,$December Accounts Receivable,$December Inventory$December Total Assets,$December Total Income,$December Total Expenses,$December
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