Question
Berkshire Hathaway provided the following financial details as of December 31, 2023: Account Amount ($) Cash 15,000,000 Accounts Receivable 20,000,000 Inventory 18,000,000 Accounts Payable 10,000,000
Berkshire Hathaway provided the following financial details as of December 31, 2023:
Account | Amount ($) |
Cash | 15,000,000 |
Accounts Receivable | 20,000,000 |
Inventory | 18,000,000 |
Accounts Payable | 10,000,000 |
Short-term Debt | 8,000,000 |
Common Stock | 50,000,000 |
Retained Earnings | 22,000,000 |
Requirements:
- Create a classified Balance Sheet.
- Compute the Quick Ratio.
- Determine the Working Capital.
- Evaluate Berkshire Hathaway's liquidity position.
- Discuss any financial risks based on the Balance Sheet.
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Fundamental Managerial Accounting Concepts
Authors: Thomas Edmonds, Christopher Edmonds, Bor Yi Tsay, Philip Old
7th edition
978-0077632427, 77632427, 78025656, 978-0078025655
