Current Position Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash $414,000 $320,000 Marketable securities 496,800 336,000 Accounts and notes receivable (net) 619,200 464,000 Inventories 351,900 272,000 Prepaid expenses 188,100 208,000 Total current assets $2,070,000 $1,600,000 Current liabilities: Accounts and notes payable (short-term) $675,000 $600,000 Accrued liabilities 225,000 200,000 Total current liabilities $900,000 $800,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year Previous Year 1. Working capital $ $ 2. Current ratio 3. Quick ratio
Current Position Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash $414,000 $320,000 Marketable securities 496,800 336,000 Accounts and notes receivable (net) 619,200 464,000 Inventories 351,900 272,000 Prepaid expenses 188,100 208,000 Total current assets $2,070,000 $1,600,000 Current liabilities: Accounts and notes payable (short-term) $675,000 $600,000 Accrued liabilities 225,000 200,000 Total current liabilities $900,000 $800,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year Previous Year 1. Working capital $ $ 2. Current ratio 3. Quick ratio
Related questions
The following data were taken from the balance sheet ofGostkowski Company at the end of two recent fiscal years:
| Current Year | Previous Year | |||||||
| Cash | $480,000 | $392,000 | ||||||
| Marketable securities | 576,000 | 411,600 | ||||||
| Accounts and notes receivable (net) | 384,000 | 316,400 | ||||||
| Inventories | 408,000 | 333,200 | ||||||
| Prepaid expenses | 552,000 | 506,800 | ||||||
| Total current assets | $2,400,000 | $1,960,000 | ||||||
| Accounts and notes payable (short-term) | $600,000 | $525,000 | ||||||
| Accrued liabilities | 200,000 | 175,000 | ||||||
| Total current liabilities | $800,000 | $700,000 | ||||||
a. Determine for each year (1) the workingcapital, (2) the current ratio, and (3) the quick ratio. Roundratios to one decimal place.
| Current Year | Previous Year | ||||||
| 1. Working capital | $ | $ | |||||
| 2. Current ratio | |||||||
| 3. Quick ratio | |||||||
Current Position Analysis
The following data were taken from the balance sheet of Bock Suppliers Company:
| Current Year | Previous Year | |||||||
| Cash | $376,200 | $273,600 | ||||||
| Temporary investments | 435,600 | 307,800 | ||||||
| Accounts and notes receivable (net) | 178,200 | 102,600 | ||||||
| Inventories | 914,800 | 625,900 | ||||||
| Prepaid expenses | 471,200 | 400,100 | ||||||
| Total current assets | $2,376,000 | $1,710,000 | ||||||
| Accounts and notes payable | ||||||||
| (short-term) | $382,800 | $399,000 | ||||||
| Accrued liabilities | 277,200 | 171,000 | ||||||
| Total current liabilities | $660,000 | $570,000 | ||||||
a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place.
| Current Year | Previous Year | |||||
| 1. Working capital | $ | $ | ||||
| 2. Current ratio | ||||||
| 3. Quick ratio | ||||||
b. The liquidity of Bock Suppliers has from the preceding year to the current year. The working capital, current ratio, and quick ratio have all . Most of these changes are the result of an in current assets relative to current liabilities.
