Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Selected financial data for Amberjack Corporation follows. Sales Cost of goods sold Net income Cash flow from operations Cash Marketable securities Accounts receivable Inventories
Selected financial data for Amberjack Corporation follows. Sales Cost of goods sold Net income Cash flow from operations Cash Marketable securities Accounts receivable Inventories Total current assets Accounts payable Accrued liabilities Total current liabilities Year 1 ($ Year 2 ($ thousands) thousands) 337,252 263, 251 (169,104) (60,627) 342,580 343,498 22,705 6,655 715,438 30,308 46,046 76,354 475,253 355,484 (404,909) (23, 165) 270, 622 38,300 37,048 73,506 419,476 24,158 126,251 150,409 a. Calculate the current and quick ratio at the end of each year. Note: Round your answers to 1 decimal place. b. Assuming a 365-day year for all calculations, compute the following: i. The collection period each year based on sales. ii. The inventory turnover and the payables period each year based on cost of goods sold. iii. The days' sales in cash each year. iv. The gross margin and profit margin each year. Note: Round your answers to 1 decimal place. Negative answers should be indicated by parentheses.
Step by Step Solution
★★★★★
3.45 Rating (148 Votes )
There are 3 Steps involved in it
Step: 1
a Current Ratio Year 1 7 15 438 76 354 9 39 Year 2 419 476 150 409 2 79 Quick Ra...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started