This case, based on Indigo Books & Music Inc.'s (Indigo's) balance sheet in Appendix A at the

Question:

This case, based on Indigo Books & Music Inc.'s (Indigo's) in Appendix A at the end of this book and on MyAccountingLab, will familiarize you with some of the assets and liabilities of this company. Answer these questions, using the company's and other information.
Required
1. Compare Indigo's to the in Exhibit 4-14 on page 193. What differences in style do you notice between these two balance sheets? Describe these differences.
2. What was the value of Indigo's total current assets in 2014? In 2013?
3. What was the value of the total current liabilities in 2014? In 2013?
4. Compute Indigo's current ratio at March 29, 2014, and at March 30, 2013. Did the ratio improve or deteriorate during the year?
5. Compute Indigo's debt ratio for the fiscal years ended 2014 and 2013. Did the ratio improve or deteriorate during the year?
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...