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Computing working captial, current ratio, and acid-test ratio Compute amount of workign capital at both year-end dates, current ratio at both year-end dates, acid-test ratio
Computing working captial, current ratio, and acid-test ratio
Compute amount of workign capital at both year-end dates, current ratio at both year-end dates, acid-test ratio at both year-end dates, cash flow liquidity ratio at both year-end dates, comment briefly o the company's short=term financial position.
Please Show work, im going to be using this for review. Thank you!
1 The following data are for Toy Company: 31-Dec 2013 2012 4 Allowance for uncollectibe accounts S S 72,000 57,000 34,500 45,000 5 prepaid expenses S 0,000 186,000 6 accrued liabilities in bank A 1,095,000 975,000 7 cash 37,500 8 Wages payable 714,000 585,000 9 accounts payable S 1,342,500 1,437,000 10 merchandise inventory S 615,000 594,000 11 bonds payable, due in 2015 S 217,500 147,000 12 marketable securities S 300,000 195,000 13 notes payable (due in six months) S 907,500 870,000 14 accounts receivable 15 cash flow from operating activities s 192,000 180,000 17 Compute the followin 18 A. Compute the amount of working capital at both year-end dates 19 B. Compute the current ratio at both year-end dates 20 c. Compute the acid-test ratio at both year-end dates 21 D. Compute the cash flow liquidity ratio at both year-end dates 22 E. Comment briefly on the company's short-term financial positionStep by Step Solution
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