You have been hired as a financial analyst of a firm and your team is working on an independent assessment of XYZ Inc. Your assistant has provided you with the following data for XYZ Inc. and their industry.

Required:

a) In annual report of firm CEO wrote, we had higher liquidity largely due to an increase in highly liquid current assets (cash, account receivables and short-term marketable securities). Is the CEO correct?

b) What can you say about the firm's collection period and inventory turnover?

c) You are asked to provide the shareholders with an assessment of the firm's leverage. What would you say?

Note:- please give answers correctly.

You have been hired as a financial analyst of a firm and your team is working on an independent assessment of XYZ Inc. Your assistant has provided you with the following data for XYZ Inc. and their industry. Required: a) In annual report of firm CEO wrote, we had higher liquidity largely due to an increase in highly liquid current assets (cash, account receivables and short-term marketable securities). Is the CEO correct? b) What can you say about the firm's collection period and inventory turnover? c) You are asked to provide the shareholders with an assessment of the firm's leverage. What would you say? Note:- please give answers correctly.