The financial statements of Columbia Sportswear Company are presented in Appendix B. Financial statements of VF Corporation

Question:

The financial statements of Columbia Sportswear Company are presented in Appendix B. Financial statements of VF Corporation are presented in Appendix C. Assume Columbia's weighted-average number of shares outstanding was 227,514,000, and VF's was 56,997,000.

Instructions

(a) For each company, calculate the following values for 2014.

(1) Working capital.

(2) Current ratio.

(3) Debt to assets ratio.

(4) Free cash flow.

(b) Based on your findings above, discuss the relative liquidity and solvency of the two companies.

Financial Statements
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Solvency means the ability of a business to fulfill its non-current financial liabilities. Often you have heard that the company X went insolvent, this means that the company X is no longer able to settle its noncurrent financial... Corporation
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