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Problem - The following data (in thousands) were taken from recent financial statements of Starbucks Corporation:
Year 2
Year 1
Current assets
$4,352,700
$4,168,700
Current liabilities
3,653,500
3,038,700
Required -
a. Compute the working capital and the current ratio for Year 2 and Year 1. Round to two decimal places.
b. What conclusions concerning the company's ability to meet its financial obligations can you draw from part (a)?
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