The Following Information Was Available from the Financial Statements of Collateral

question 22

Essay

The following information was available from the financial statements of Collateral, Inc. for the years 2016 and 2015 (in millions of dollars): Required:
A.Calculate the capital acquisitions ratio for each of the two years.Round your answers to two decimal places.
B.Calculate the free cash flow for each of the two years.
C.Comment on the sufficiency of the capital acquisitions ratio and free cash flow for the two years and implications for future corporate strategy.

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Definitions:

Alteration

refers to the act or process of changing, modifying, or becoming different, often leading to a new configuration, composition, or condition.

Electronic

Relating to devices or systems that operate using the controlled flow of electrons or other charged particles.

Neuroimaging Studies

Research involving techniques that visualize the structure or function of the brain to understand neurological and psychological phenomena.

Clinical Observation

The process of systematically watching and noting the manifestations of a disease or the effects of a treatment over time in a clinical setting.