(Solved by Humans)-Problem 2-4 Financial Statement Ratios The following items, in alphabetical order, are available...

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Problem 2-4  Financial Statement Ratios The following items, in alphabetical order, are available from the records of Walker Corporation as of December 31, 2014 and 2013: LO4 December 31, 2014           December 31, 2013 Accounts payable $  8,400 $  5,200 Accounts receivable 27,830 35,770 Cash 20,200 19,450 Cleaning supplies 450 700 Interest payable 0 1,200 Inventory 24,600 26,200 Marketable securities 6,250 5,020 Note payable, due in six  months 0 12,000 Prepaid rent 3,600 4,800 Taxes payable 1,450 1,230 Wages payable 1,200 1,600 Required 1.        Calculate the following as of December 31, 2014, and December 31, 2013: a.      Working capital b.      Current ratio 2.        On the basis of your answers to (1), comment on the company’s relative liquidity at the beginning and end of the year. Explain the change in the company’s liquidity from the beginning to the end of 2014.                  

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This question was answered on: 10 May, 2025

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(Solved by Humans)-Problem 2-4 Financial Statement Ratios The following items, in alphabetical order, are available...


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