Financial accounting 16th Edition by Jan Williams,Susan Haka,Mark Bettner ,Joseph Carcello

تمرين 38

Chezo, Inc., is a large cheese store chains.hown below are selected items adapted from a recent Chezo, Inc., balance sheet.Dollar amounts are in the millions.)

Instructions
a.sing the information above, compute the amounts of Chezo's total current assets and total quick assets.
b.ompute the company's ( 1 ) current ratio, ( 2 ) quick ratio, and ( 3 ) working capital.Round to two decimal places.)
c.rom these computations, are you able to conclude whether Chezo is a good credit risk for short-term creditors or on the brink of bankruptcy Explain.
d.s there anything unusual about the operating cycle of cheese stores that would make you think that they normally would have lower current ratios than, say, large department stores
e.hat other types of information could you utilize in performing a more complete analysis of Chezo's liquidity