181. Coglin, Inc. incurred a net loss of $20,000 for 2014. The balance sheet at December 31, 2014, for Coglin, Inc., includes the following items:
Cash $ 23,000
Accounts receivable 13,000
Inventory 45,000
Prepaid insurance 1,000
Land 21,000
Building 80,000
Accounts payable 55,000
Salaries payable 2,000
Capital stock 100,000
Retained earnings 25,000

A) Determine Coglin's current ratio and working capital.

B) Beyond the information provided in your answers to "A," what does the composition of Coglin's current assets tell you about its liquidity.

C) What other information would one need to fully access Coglin's liquidity?




 
 
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