QUESTION 14

Use your balance sheet above to calculate Famebooks net working capital for 2019. If you had to choose one, would you evaluate net working capital for the year as good or bad? Explain why in 1-2 sentences.

QUESTION 15

Calculate Famebooks current ratio for 2018 and 2019. Interpret the ratio (i.e. what does the change suggest) in 1-2 sentences. Keep two decimal places 0.00. (Use your balance sheet from baance sheet)

question 16

Use your balance sheet from question 13 to calculate and interpret one LONG-TERM solvency ratio for 2018 and 2019. Keep four decimal places 0.00% or 0.0000 and indicate the ratio you are solving for. Interpret the change in the ratio you selected in 1-2 sentences. [14:19, 9/29/2020] Jhostin Bonilla: Famebook would also like to calculate its cash flow from assets for 2019. The finance manager has informed you that depreciation was equal to $180,000 and that OCF was equal to your special number. Use your balance sheet from question 13 to calculate CFFA and show your work.

+ 2019 Cash Inventory Accounts receivable $379,300 $112,000 2018 $427,000 $114,000 Total Current Assets Balance sheet 2019 2018 $132,500 $145,700 Accounts payable $490,000 $490,000 Notes payable $210,000 $200,000 $832,500 $835,700 Long-term debt Total liabilities $1,652,500 $1,738,000 common stock Retained earnings Total liabilities and $2,485,000 $2,573,700 equity $490,000 $490,000 $981,300 $1,031,000 $675,000 $692,000 828,700 $850,700 Net fixed assets Total assets $2,485,000 $2,573,700