(ratio analysis) Following are the key ratios of SWS Berhad.SWS BerhadIndustryKey Ratios20162017NormCurrent ratioAcid-test (Quick ratio)Inventory turnoverAverage collection period 131 days55.355.002.72.633.002.4 times1.46 times2.20108 days90 daysBased on the above information, answer questions below.@ Using Time-Series Analysis, comment on the liquidity position of SWsBerhad.Using Time-Series Analysis, comment on the efficiency of SWS Berhad inmanaging the inventory.

Time series analysis of financial numbers mean determining the trend associated with the financial…

Based on the above information, answer questions below. @ Using Time-Series Analysis, comment on the liquidity position of SWS Berhad. @ Using Time-Series Analysis, comment on the efficiency of SWS Berhad managing the inventory.

Based on the above information, answer questions below. @ Using Time-Series Analysis, comment on the liquidity position of SWS Berhad. @ Using Time-Series Analysis, comment on the efficiency of SWS Berhad managing the inventory.

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter7: Inventories

Section: Chapter Questions

Problem 4PEA: Beginning inventory, purchases, and sales for 30xT are as follows: Assuming a perpetual inventory...

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Question

(ratio analysis)

Following are the key ratios of SWS Berhad.
SWS Berhad
Industry
Key Ratios
2016
2017
Norm
Current ratio
Acid-test (Quick ratio)
Inventory turnover
Average collection period 131 days
5
5.35
5.00
2.7
2.63
3.00
2.4 times
1.46 times
2.20
108 days
90 days
Based on the above information, answer questions below.
@ Using Time-Series Analysis, comment on the liquidity position of SWs
Berhad.
Using Time-Series Analysis, comment on the efficiency of SWS Berhad in
managing the inventory.

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