Over the past year, M.D. Ryngaert & Co. had an increase in its current ratio and a declinein its total assets turnover ratio. However, the company’s sales, cash and equivalents, DSO,and fixed assets turnover ratio remained constant. What balance sheet accounts must havechanged to produce the indicated changes?
Over the past year, M.D. Ryngaert & Co. had an increase in its current ratio and a declinein its total assets turnover ratio. However, the company’s sales, cash and equivalents, DSO,and fixed assets turnover ratio remained constant. What balance sheet accounts must havechanged to produce the indicated changes?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Over the past year, M.D. Ryngaert & Co. had an increase in its current ratio and a decline
in its total assets turnover ratio. However, the company’s sales, cash and equivalents, DSO,
and fixed assets turnover ratio remained constant. What
changed to produce the indicated changes?
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