Current Position Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash $532,000 $439,200 Marketable securities 616,000 494,100 Accounts and notes receivable (net) 252,000 164,700 Inventories 554,400 297,700 Prepaid expenses 285,600 190,300 Total current assets $2,240,000 $1,586,000 Current liabilities: Accounts and notes payable $406,000 $427,000 (short-term) 294,000 183,000 Accrued liabilities $700,000 $610,000 Total current liabilities a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decima place. Previous Year Current Year %24 1. Working capital

Current Position Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash $532,000 $439,200 Marketable securities 616,000 494,100 Accounts and notes receivable (net) 252,000 164,700 Inventories 554,400 297,700 Prepaid expenses 285,600 190,300 Total current assets $2,240,000 $1,586,000 Current liabilities: Accounts and notes payable $406,000 $427,000 (short-term) 294,000 183,000 Accrued liabilities $700,000 $610,000 Total current liabilities a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decima place. Previous Year Current Year %24 1. Working capital

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 9.6E

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