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AvX engages in the manufacturing, distribution and sales of automobiles. You have been asked to discuss the liquidity of RVX, Using all the necessary tools
AvX engages in the manufacturing, distribution and sales of automobiles. You have been asked to discuss the liquidity of RVX, Using all the necessary tools (Hint: Trend, structure, ratio, other), analyze the liquidity of the compamy using the three step approach. \begin{tabular}{|c|c|c|c|} \hline & & & \\ \hline Other Current Liabilities & 20.56 & 19.70 & 19.32 \\ \hline Total Current Liabilities & 95.57 & 9460 & 90.28 \\ \hline \multicolumn{4}{|l|}{ Long-Term } \\ \hline Long-Term Debt & 100.72 & 102.67 & 93.30 \\ \hline Provision for Risks \& Charges & 15.72 & 17.02 & 16.92 \\ \hline Deferred Tax Liabilities & 0.60 & 0.82 & 0.69 \\ \hline Other Liabilities & 7.87 & 7.69 & 7.48 \\ \hline Total Liabilities & 220.47 & 222.79 & 20867 \\ \hline \multicolumn{4}{|l|}{ Equity } \\ \hline Common Equity & 35.93 & 34.89 & 29.17 \\ \hline Common Stock Par & 0.04 & 0.04 & 0.04 \\ \hline Additional Pald.In Capital/Capital Surplus & 22.01 & 21.84 & 21.63 \\ \hline Retained Earnings & 22.67 & 21.22 & 15.63 \\ \hline Cumulative Translation AdjustmentUnrealized For. Excty Gain & 4.80 & .428 & .4 .59 \\ \hline Unrealized GainiLoss Marketable Securities & .0 .06 & .0 .05 & 0.01 \\ \hline Other Appropriated Resorves & -2.51 & -2.63 & \\ \hline Treasury Stock & -1.42 & -1.25 & -1.2 \\ \hline Total Shareholders' Equily & 35.93 & 34.89 & \\ \hline Accumulated Minority Interest & 0.13 & 0.13 & 0.11 \\ \hline Total Equity & 36.07 & 3502 & 2928 \\ \hline Total Liabilities \& Shareholders' Equity & 256.54 & 257.81 & 237.95 \\ \hline \multicolumn{4}{|l|}{ RVX Company Income Statement } \\ \hline Sales & 160.34 & 156.78 & 151.80 \\ \hline Cost of Goods Sold (COGS) incl. D\&A & 137.58 & 132.89 & 128.73 \\ \hline coGS excluding D\&A & 129.27 & 124.44 & 120.01 \\ \hline Depreciation \& Amortization Expense & 8.31 & 8.45 & 8.72 \\ \hline Gross Income & 22.76 & 23.88 & 23.08 \\ \hline SG8A Expense & 19.60 & 19.53 & 19.50 \\ \hline Research \& Dovelopment & 8.20 & 8.00 & 730 \\ \hline Other SG8A & 11.40 & 11.53 & 12.20 \\ \hline Other Operating Expense & 0.00 & 0.00 & 0.00 \\ \hline EBIT (Operating Income) & 3.15 & 4.36 & 3.58 \\ \hline Nonoperating Income - Net & 2.41 & 5.35 & 3.32 \\ \hline Interest Expense & 1.24 & 1.35 & 1.26 \\ \hline Unusual Expense - Net & -0.02 & 0.20 & -1.16 \\ \hline Unrealized Valuation Gain/Loss & 0.02 & .0 .20 & 1.16 \\ \hline Pretax Income & 4,35 & 8.15 & 6.80 \\ \hline Income Taxes & 0.65 & 0.52 & 2.19 \\ \hline Consolidated Net Income & 3.70 & 7.63 & 4.61 \\ \hline \end{tabular}
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