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Compute the working capital and the current ratio for year

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Reference no: EM133007270

The following data (in thousands) were taken from recent financial statements of Star-bucks Corporation:

                                              Year 2                   Year 1

Current assets             $12,494,200           $5,283,400

Current liabilities          $5,684,200               $4,220,700

Problem a. Compute the working capital and the current ratio for Year 2 and Year 1. Round to two decimal places.

Problem b. What conclusions concerning the company's ability to meet its financial ob-ligations can you draw from part (a)?

Reference no: EM133007270

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