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Provide the requested analysis for Rosa Ltd. based on the information provided. Be sure to number your responses so it is clear which question you
Provide the requested analysis for Rosa Ltd. based on the information provided. Be sure to number your responses so it is clear which question you are answering (1,2, or 3). You must write your answers in the space provided below. Accounts receivable (gross) Allowance for doubtful accounts Inventory Long-term assets (net) Total assets Sales revenue Cost of goods sold Net income 2020 14,100 850 2021 $15,300 $920 $48,000 45,500 $130,000 91,000 $234,300 164,010 $326,750 228,725 $148,700 104,090 $6,535 5,032 Industry average ratios are: days in inventory 45 days, days in receivables 20 days, and return on assets 5.2%. 1. Is Rosa effective at managing its inventory? Why or why not? You must use a ratio to support your answer. 2. Is Rosa effective at managing its accounts receivable? Why or why not? You must use a ratio to support your answer. 3 Is Rosa using its assets efficiently? Why or why not? You must use a ratio to support your answer.
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