Textbook Problem

Amicus Therapeutics, Inc., is a biopharmaceutical company that develops drugs for the treatment of various diseases, including Parkinson’s disease. Amicus Therapeutics reported the following financial data (in thousands) for three recent years:

1.        a.            Determine the monthly cash expenses for Year 3, Year 2, and Year 1. Round to one decimal place.
2.       b.            Determine the ratio of cash to monthly cash expenses for Year 3, Year 2, and Year 1 as of December 31. Round to one decimal place.
3.        c.            Based on (a) and (b), comment on Amicus Therapeutics’ ratio of cash to monthly operating expenses for Year 3, Year 2, and Year 1.