Reference no: EM132642252

Open Tableau and connect to the Excel spreadsheet you downloaded.

1. Click on the "Sheet 1" tab at the bottom of the canvas, to the right of the Data Source at the bottom of the screen. Drag "Company" under "Dimensions" to the Columns shelf.
2. Drag the "Year" under "Dimensions" to the Columns shelf. If the "Year" pill is green, Tableau has identified it as continuous data. Select the drop-down menu box on the "Year" pill and click "Discrete" instead of "Continuous." Note the pill is now blue.
3. Drag "Total current assets" under "Measures" to the Rows shelf. Change to "Discrete" data following the same instructions above. Note: You must drag accounts into the Rows shelf if you are going to use them in calculated fields and need an aggregated sum. If this is not done first, your answer will not match the solutions.
4. Drag "Total current liabilities" under "Measures" to the Rows shelf. Follow the same instructions above for "Total current assets."

calculated field by clicking the "Analysis" tab from the Toolbar at the top of the screen and selecting "Create Calculated field." A calculation box will pop up. Name the calculation "Quick Assets." Drag "Cash and cash equivalents" under "Measures" into the calculation box (this is the blank area below the title). Add a plus sign and drag "Receivables, net" into the calculation box. Make sure the box says that the calculation is valid and click OK. The new field "Quick Assets" will now appear under "Measures."

1. calculated field named "Current Ratio" by dragging "Total current assets" into the calculation box, typing a division sign, then dragging "Total current liabilities" beside it. Make sure the box says that the calculation is valid and click OK. The new field "Current Ratio" will now appear under Measures. Drag "Current Ratio" to the Rows shelf. Click on the dropdown from the "Current Ratio" pill, click 'Format", set the formatting options. From the 'Font' dropdown select 10-point font, Bold, Black. From the 'Numbers' dropdown select 'Number (custom) "3" decimal places.
2. calculated field "Quick Ratio" following the same process. Drag the newly created "Quick Assets" under "Measures" into the calculation box. division sign, then drag Total current liabilities" under "Measures" beside it. Make sure the box says that the calculation is valid and click OK. Drag "Quick Ratio" to the Rows shelf. Click on the dropdown from the "Quick Ratio" pill, set Formats as noted above.
3. Drag "Sum: Total current assets" and "Sum: Total current liabilities" from the "Rows" shelf back under "Measures." This will remove them from the canvas.
4. In the "Marks" card under the All section, select the drop-down menu for presentation and select "Line" (it defaults to "Automatic"). In the "Label" box, select "Show mark labels."mat bold, and 10-point font.
5. Change the title of the sheet to be "Liquidity" by right-clicking and selecting "Edit title." Format the title to old. Change the title of "Sheet 1" to match the sheet title by right-clicking, selecting "Rename" and typing in the new title.

Required:

Based upon what you find, answer the following questions:

Question A. Analyzing the liquidity ratios over the ten-year period, is Discount Goods current ratio (a) generally increasing, (b) roughly the same, or (c) generally decreasing from year to year?

Question B. Analyzing the liquidity ratios over the ten-year period, is Big Store's current ratio (a) generally increasing, (b) roughly the same, or (c) generally decreasing from year to year?

Question C. What is the current ratio in 2021 for Discount Goods? For Big Store? (Round your answers to 3 decimal places.)

Question D. What is the acid-test (or quick) ratio in 2021 for Discount Goods? For Big Store? (Round your answers to 3 decimal places.)

Question E. Which company has more favorable liquidity ratios in 2021?