Compare the current ratios between the two years

Assignment Help Finance Basics
Reference no: EM132637905

The Robinson Company has the following current assets and current liabilities for these two years: please provide formula and answer

Cash and marketable securities $50,000 $50,000

Accounts receivable 300,000 350,000

Inventories 350,000 500,000

Total current assets $700,000 $900,000

Accounts payable $200,000 $250,000

Bank loan 0 $150,000

Accruals $150,000 $200,000

Total current liabilities $350,000 $600,000

a. Compare the current ratios between the two years.

b. Compare the acid test ratios between 2016 and 2017. Comment on your findings.

Reference no: EM132637905

Questions Cloud

Use the proposed methodology at your organization : However, there are other methodologies, would you use the proposed methodology at your organization and explain why in comparison to other methodologies.
Summarize three strategies or therapeutic interventions : Summarize three strategies or therapeutic interventions to counter the identified microaggressions and support discussion with two scholarly references.
What should be the price of stock : The discount rate for Philip Morris stock is 16%. What should be the price of this stock? Please provide answer and formula
What is risk posture for each particular system : What is the risk posture for each particular system as it contributes to the overall risk posture of the organization?
Compare the current ratios between the two years : The Robinson Company has the following current assets and current liabilities for these two years: please provide formula and answer
What is the expected return : The risk-free return is 4%. The stock has an expected return of 15% and a standard deviation of 30%. What's the expected return
How do research about economies of scale : How do research about economies of scale, economies of scope, global companies, global teams, globalization strategy, international division, joint venture
What is big tech current pe ratio : What is Big Tech's current P/E ratio? -BIG TECH Inc. sells at $40 per share, and its latest 12-month earnings were $8 per share, of which $3.20 per share
What is the present value of the CCA tax shield : What is the present value of the CCA tax shield associated with the building if your firm intends to use a 20-year planning horizon for the project

Reviews

Write a Review

Finance Basics Questions & Answers

  What will the accumulated depreciation be at the end of year

Bernie's Beverages purchased some fixed assets classified as 5-year property for MACRS. The assets cost $30,000. What will the accumulated depreciation be at the end of year three? MACRS 5-year property

  Receive monthly to reach goal

Tom has $5000 to invest and would like to buy a $9500 jet ski on 4 years. If interest rate is compounded monthly, what interest he has to receive monthly to reach his goal?

  Information about costs and investments

This is a fictional task in sense that there is no concrete plan from Iacom as explained in the task text. It applies information about costs and investments.

  Explain the concept of maximizing shareholder value

Explain the concept of maximizing shareholder value. How important is maximizing shareholders' wealth/value to a financial manager?

  Determine the amount of stu''s retained earnings

Prepare Working paper eliminating entries for preparation of Dec. 31, 2012 consolidated balance sheet by Pop.

  Compare the npv payback periods for the generator

The gas drilling company, North Eastern Star, (which makes decisions based on a discount rate of 10%, is considering the purchase of a natural gas powered.

  What will the capital structure weight of the common stock

The bonds mature in 17 years, have a face value of $892, and sell at 102 of par. What is the capital structure weight of the common stock?

  What is the bond''s yield to maturity

A 10-year, 12 percent semiannual coupon bond, with a par value of $1,000, may be called in 4 years at a call price of $1,060. The bond sells for $1,100. a. What is the bond's yield to maturity? b. What is the bond's current yield? c. What is the bond..

  Steps for business attempt to improve profitability

The amount of labour likely to be available amounts to £20,000. All of the variable labour is paid at the same hourly rate. You have been asked to prepare a statement of plans ensuring that at least 50 per cent of the budget sales are achieved for..

  What is the cross rate of japanese yen to british pounds

(Spot exchange rates) If one euro is priced at bid 9.15 /ask 9.22 Swedish crowns, how many euros can you purchase for 50 Swedish crowns?

  Significant medium-term financing

In 500 words explain what would happen to the corporate cost of capital if a large country, such as the US, Japan, China, or Germany, started to run huge structural debts and required significant medium-term financing. How can a corporation immuni..

  Would you expect demand for ski butternut lift tickets

Would you expect demand for Ski Butternut lift tickets to be elastic? Why or why not? What role do the product life cycle, competition, and perceptions of quality play in Ski Butternut'spricing?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd