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VWX Corp. provides the following financial data for the year ended March 31, 2023. Balance Sheet as of March 31, 2023 Cash: $260,000 Accounts Receivable:

VWX Corp. provides the following financial data for the year ended March 31, 2023.

Balance Sheet as of March 31, 2023

  • Cash: $260,000
  • Accounts Receivable: $460,000
  • Inventory: $550,000
  • Prepaid Expenses: $80,000
  • Property, Plant, and Equipment (Net): $1,700,000
  • Total Assets: $3,050,000

Liabilities and Equity

  • Accounts Payable: $310,000
  • Short-term Debt: $250,000
  • Long-term Debt: $900,000
  • Common Stock: $1,300,000
  • Retained Earnings: $290,000
  • Total Liabilities and Equity: $3,050,000

Income Statement for the year ended March 31, 2023

  • Sales: $3,200,000
  • Cost of Goods Sold: $1,900,000
  • Operating Expenses: $800,000
  • Interest Expense: $70,000
  • Taxes (25%): $107,500
  • Net Income: $322,500

Analyze the financial position of VWX Corp. from the points of view of (i) liquidity, (ii) solvency, (iii) profitability, and (iv) efficiency.

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