Question
Working capital and current ratio Current assets and current liabilities for Brimstone Company follow: 20Y4 20Y3 Current assets $1,548,000 $1,066,000 Current liabilities 720,000 520,000 a.
Working capital and current ratio
Current assets and current liabilities for Brimstone Company follow:
| 20Y4 | 20Y3 | ||||
| Current assets | $1,548,000 | $1,066,000 | |||
| Current liabilities | 720,000 | 520,000 |
a. Determine the working capital and current ratio for 20Y4 and 20Y3. Round Current ratio to 2 decimal places.
| 20Y4 | 20Y3 | ||||
| Working capital | $ | $ | |||
| Current ratio |
b. Does the change in the current ratio from 20Y3 to 20Y4 indicate a favorable or an unfavorable change?
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Facilities Managers Reference Management Planning Building Audits Estimating
Authors: Harvey H. Kaiser
1st Edition
0876291426, 978-0876291429
