Selected ratios for Julienne Foods, Inc. and Brut Champagnes, Inc. are given. What do these ratios tell you about the companies regarding whether or not to invest in either of them and what additional information might be helpful in that decision? $$\begin{array} { l c c }
& \text { Julienne Foods } & \text { Brut Champagnes } \
\text { Working Capital } & 236,000 & 672,000 \
\text { Current Ratio } & 2.3 & 1.9 \
\text { Inventory Turnover } & 3.8 & 5.3 \
\text { Accounts Receivable Turnover } & 3.6 & 4.9 \
\text { Average Collection Period } & 23.9 & 28.7
\end{array}$$

Question

Selected ratios for Julienne Foods, Inc. and Brut Champagnes, Inc. are given. What do these ratios tell you about the companies regarding whether or not to invest in either of them and what additional information might be helpful in that decision? $$\begin{array} { l c c } 
& \text { Julienne Foods } & \text { Brut Champagnes } \
\text { Working Capital } & 236,000 & 672,000 \
\text { Current Ratio } & 2.3 & 1.9 \
\text { Inventory Turnover } & 3.8 & 5.3 \
\text { Accounts Receivable Turnover } & 3.6 & 4.9 \
\text { Average Collection Period } & 23.9 & 28.7
\end{array}$$

Quizplus · Accepted Answer

The Answer of Selected ratios for Julienne Foods, Inc. and Brut Champagnes, Inc. are given. What do these ratios tell you about the companies regarding whether or not to invest in either of them and what additional information might be helpful in that decision? $$\begin{array} { l c c } 
& \text { Julienne Foods } & \text { Brut Champagnes } \
\text { Working Capital } & 236,000 & 672,000 \
\text { Current Ratio } & 2.3 & 1.9 \
\text { Inventory Turnover } & 3.8 & 5.3 \
\text { Accounts Receivable Turnover } & 3.6 & 4.9 \
\text { Average Collection Period } & 23.9 & 28.7
\end{array}$$

Selected Ratios for Julienne Foods, Inc