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77julia77 [94]
3 years ago
7

In december 2015, apple had cash of $38.07 billion, current assets of $76.22 billion, and current liabilities of $76.09 billion.

It also had inventories of $2.45 billion.A. What was apple's current ratio?B. What was apple's quick ratio?
c. In january 2016, hewlett-packard had a quick ratio of 0.66 and a current ratio of 0.90. What can you say about the asset liquidity of apple relative to hewlett-packard?
Business
1 answer:
likoan [24]3 years ago
3 0

A. Current ratio = Current assets/current liabilities

Current assets = Cash + inventories + current assets = 38.07+76.22+2.45 = 116.74 billion

Current liabilities = 76.09 billion

Current ratio = 116.74 billion/76.09 billion = 1.53

B. Quick ratio = (Current assets - inventory)/current liabilities =(116.74-2.45)/76.09 = 1.60

C. When compared to Hewlett-Packard, both the quick ratio and the current ratio of Apple are higher. This means that Apple is in a better liquidity position than Hewlett-Packard. In other words, Hewlett-Packard has to improve its liquidity position when compared to Apple

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clean water softener systems has cash of $600, accounts receivable of $900, and office supplies of $400. clean owes $500 on acco
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Current liabilities are often understood as all liabilities of the business that are to be settled in cash within the fiscal year or the operating cycle of a given firm, whichever period is longer.

Current ratio = current assets ÷ current liabilities.

From the question above;

Current assets;

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