The Following Summaries from the Income Statements and Balance Sheets

question 193

Essay

The following summaries from the income statements and balance sheets of Kouris Company and Brittania, Inc. are presented below.
(1) For both companies for 2017, compute the:
(a) Current ratio
(b) Acid-test ratio
(c) Accounts receivable turnover
(d) Inventory turnover
(e) Days' sales in inventory
(f) Days' sales uncollected
Which company do you consider to be the better short-term credit risk? Explain.
(2) For both companies for 2017, compute the:
(a) Profit margin ratio
(b) Return on total assets
(c) Return on common stockholders' equity
Which company do you consider to have better profitability ratios?

Identify strategies for minimizing borrowing costs and managing credit risk.

Understand the role and function of Consumer Credit Counseling Services (CCCS) in debt management.

Identify the legal frameworks and consumer rights under bankruptcy law.

Recognize the impact of bankruptcy among different demographic groups.

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Definitions:

Influences Other People

The capacity or ability to affect others' thoughts, actions, or decisions through various means, such as persuasion, example, or authority.

Social Needs

Fundamental human requirements for interaction and belonging within a community or society.

Emotional Support

Assistance provided through empathy, care, and concern, helping individuals cope with emotional distress and fostering emotional well-being.

Problem Solving

The act of identifying answers to challenging or intricate problems.