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Use the Following Information for Boxter, Inc A) Boxter
B) Clifford
C) Danforth
D) Evans

Question 170

Multiple Choice

Use the following information for Boxter, Inc., Clifford Company, Danforth Industries, and Evans Services to answer the question "Using the LIFO adjustment, which company shows the greatest improvement in its current ratio from 2013 to 2014?"  (amounts in $ millions)   Boxter Clifford  Danforth  Evans  Inventory Method for 2013 &2014LIFOFIFOLIFOFIFO 2013 Ending inventory assuming LIFO $324N/A$225N/A 2013 Ending inventory assuming FIFO $427$535$310$6632014 Ending inventory assuming LIFO $436N/A$167N/A 2014 Ending inventory assuming FIFO $578$612$209$542 2013 Current assets (reported on balance sheet)  $1,677$2,031$1,308$2,748 2013 Current liabilities $987$1,209$545$1,200 2014 Current assets (reported on balance sheet)  $2,225$2,605$1,100$2,390 2014 Current liabilities $1,306$1,410$465$1,000 2014 Cost of goods sold $4,678$5,042$3,000$7,000\begin{array}{|l|l|l|l|l|}\hline \text { (amounts in \$ millions) } & \text { Boxter } & \text {Clifford } & \text { Danforth } & \text { Evans } \\\hline \text { Inventory Method for 2013 } \& 2014 & LIFO & FIFO & LIFO & FIFO \\\hline \text { 2013 Ending inventory assuming LIFO } & \$324 & N/A & \$225 & N/A \\\hline \text { 2013 Ending inventory assuming FIFO } & \$427 & \$535 & \$310 & \$663 \\\hline \text {2014 Ending inventory assuming LIFO } & \$436 & N/A & \$167 & N/A \\\hline \text { 2014 Ending inventory assuming FIFO } & \$578 & \$612 & \$209 & \$542 \\\hline \text { 2013 Current assets (reported on balance sheet) } & \$1,677 & \$2,031 & \$1,308 & \$2,748 \\\hline \text { 2013 Current liabilities } & \$987 & \$1,209 & \$545 & \$1,200 \\\hline \text { 2014 Current assets (reported on balance sheet) } & \$2,225 & \$2,605 & \$1,100 & \$2,390 \\\hline \text { 2014 Current liabilities } & \$1,306 & \$1,410 & \$465 & \$1,000 \\\hline \text { 2014 Cost of goods sold } & \$4,678 & \$5,042 & \$3,000 & \$7,000 \\\hline\end{array}


A) Boxter
B) Clifford
C) Danforth
D) Evans

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