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Pare Furniture Company has asked you to determine whether the company's ability to pay its current liabilities and long-term debts improved or deteriorated during
Pare Furniture Company has asked you to determine whether the company's ability to pay its current liabilities and long-term debts improved or deteriorated during 2021 (Click the icon to view the financial statement data.) Read the requirement. Calculate the following ratios for 2021 and 2020. Round your answers to two decimal places. a. Net working capital Select the formula and then enter the amounts to calculate the working capital for 2021 and 2020. 2021 2020 Net working capital Data table Cash Short-term investments Net receivables 2021 2020 $ 35,000 $ 50,000 28,000 10,000 121,000 128,000 Inventory 244,000 272,000 Prepaid expenses 23,000 6,000 Total assets 520,000 540,000 Total current liabilities 229,000 252,000 Long-term debt 125,000 184,000 Income from operations 290,000 199,000 Interest expense 39,000 40,000 Print Done I X
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