Bloom's Garden Center Company

question 69

Multiple Choice

Bloom's Garden Center Company
Selected data from the financial statements of Bloom's Garden Center Company are provided below.

- Refer to the selected data provided for Bloom's Garden Center Company. Which of the following would result from a horizontal analysis of Bloom's balance sheet?

• A) Accounts receivable increased by $23,000 or 47.92% during 2012.
• B) Accounts receivable is five times larger than inventory in 2012.
• C) Accounts receivable is 13.39% of total assets in 2012.
• D) The accounts receivable turnover ratio is 7.56 in 2012.

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Definitions:

Economic Downturn

A period of declining economic performance across industries and markets, often characterized by reduced consumer spending and business investment.

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Markets outside a company’s or country’s home market where goods, services, and securities are traded or sold, playing a crucial role in global trade and economic interdependence.

Inventories

Detailed lists of goods, materials, properties, or items held in stock by a business, organization, or entity, usually for the purpose of sale, use, or audit.

Automobile

A wheeled motor vehicle used for transportation, significantly impacting society, economy, and the environment since its invention.