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XYZ Ltd. provided the following balance sheet data as of December 31, 2024: Current Assets: $250,000 Non-Current Assets: $750,000 Current Liabilities: $150,000 Long-Term Liabilities: $300,000
- XYZ Ltd. provided the following balance sheet data as of December 31, 2024:
- Current Assets: $250,000
- Non-Current Assets: $750,000
- Current Liabilities: $150,000
- Long-Term Liabilities: $300,000
- Equity: $550,000
- - Calculate the current ratio, quick ratio, debt-to-equity ratio, and times interest earned ratio. Analyze XYZ Ltd.’s liquidity, solvency, and financial stability based on these ratios. Discuss any potential concerns and areas for improvement.
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Managerial Accounting
Authors: John J. Wild, Ken W. Shaw
2010 Edition
9789813155497, 73379581, 9813155493, 978-0073379586
