FIN570 Final Exam Latest 2024

1. Consider the following data for Company Y (12 points):

Balance Sheet

Balance Sheet as of:

Dec-31-2018 Dec-31-2019 Currency Million USD Million USD

ASSETS

Cash and Equivalents 25.0 17.0 Total Cash & ST Investments 25.0 17.0 Accounts Receivable 17.0 - Other Receivables - - Total Receivables 17.0 - Inventory 25.0 38.0 Total Current Assets 67.0 55.0

LIABILITIES

Accounts Payable 150.0 152.0 Accrued Exp. 25.0 35.0 Current Portion of LT Debt 2.0 1.0 Current Portion of Leases 1.2 1.5 Total Current Liabilities 178.2 189.5 Compute this company’s current ratio, quick ratio and cash ratio in 2018 and 2019. Just do the calculation and keep the answers to two decimal points; there is no need to discuss anything. (12 points) (2 points per answer) 2018 2019 Current Ratio Quick Ratio Cash Ratio NOTE - The answer cells must remain in B 29/30/31 and C 29/30/31. You may show live formula in the designated answer cells above or lay out your work in the space below in order to receive credit.

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