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The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current
The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years:
Current Year | Previous Year | |||||||
Current assets: | ||||||||
Cash | $630,400 | $496,800 | ||||||
Marketable securities | 730,000 | 558,900 | ||||||
Accounts and notes receivable (net) | 298,600 | 186,300 | ||||||
Inventories | 782,100 | 547,200 | ||||||
Prepaid expenses | 402,900 | 349,800 | ||||||
Total current assets | $2,844,000 | $2,139,000 | ||||||
Current liabilities: | ||||||||
Accounts and notes payable | ||||||||
(short-term) | $458,200 | $483,000 | ||||||
Accrued liabilities | 331,800 | 207,000 | ||||||
Total current liabilities | $790,000 | $690,000 |
a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place.
Current Year | Previous Year | |||||
1. Working capital | $ | $ | ||||
2. Current ratio | ||||||
3. Quick ratio |
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