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Selected Information from the Firm's Consolidated Balance Sheet Is Provided

Question 124

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Selected information from the firm's consolidated balance sheet is provided below. Assume that all of the account balances on the balance sheet are normal balances. Selected information from the firm's consolidated balance sheet is provided below. Assume that all of the account balances on the balance sheet are normal balances.   -Refer to the partial balance sheet presented above for Glass Doctor. Compute the following liquidity ratios for 2020 and 2019: Current Ratio Quick Ratio Cash Ratio Operating Cash Flow Ratio ​ Assume that Glass Doctor's statement of cash flows presented cash flows from operating activities of $204.6 million and $201.1 million for the years ended December 31, 2020 and 2019, respectively. Comment on the direction and significance of the change in the ratios from 2019 to 2020.
-Refer to the partial balance sheet presented above for Glass Doctor. Compute the following liquidity ratios for 2020 and 2019:
Current Ratio
Quick Ratio
Cash Ratio
Operating Cash Flow Ratio

Assume that Glass Doctor's statement of cash flows presented cash flows from operating activities of $204.6 million and $201.1 million for the years ended December 31, 2020 and 2019, respectively. Comment on the direction and significance of the change in the ratios from 2019 to 2020.

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