The following data were taken from the balance sheet of Albertini Company at the end of two recent fiscal years: Current Year Previous YearCurrent assets: Cash$372,400 $285,500 Marketable securities425,900 326,400 Accounts and notes receivable (net)531,700 408,100 Inventories343,200 210,600 Prepaid expenses146,800 89,400 Total current assets$1,820,000 $1,320,000 Current liabilities: Accounts and notes payable (short-term)$404,000 $352,000 Accrued liabilities296,000 248,000 Total current liabilities$700,000 $600,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year Previous Year1. Working capital$fill in the blank 1$fill in the blank 22. Current ratiofill in the blank 3fill in the blank 43. Quick ratiofill in the blank 5fill in the blank 6

Working capital = Current assets - Current liabilities Current ratio = Current assets/Current…

Answered: The following data were taken from the…

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 50E: Juroe Company provided the following income statement for last year: Juroes balance sheet as of...

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The following data were taken from the balance sheet of Albertini Company at the end of two recent fiscal years:

	Current Year		Previous Year
Current assets:
Cash	$372,400			$285,500
Marketable securities	425,900			326,400
Accounts and notes receivable (net)	531,700			408,100
Inventories	343,200			210,600
Prepaid expenses	146,800			89,400
	Total current assets	$1,820,000			$1,320,000
Current liabilities:
Accounts and notes payable (short-term)	$404,000			$352,000
Accrued liabilities	296,000			248,000
	Total current liabilities	$700,000			$600,000

a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place.

			Current Year	Previous Year
1. Working capital	$fill in the blank 1	$fill in the blank 2
2. Current ratio	fill in the blank 3	fill in the blank 4
3. Quick ratio	fill in the blank 5	fill in the blank 6

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