Current assets and current liabilities remain constant

Assignment Help Financial Management

Reference no: EM131983097

(Liquidity analysis) Airspot Motors, Inc. has $ 2,223,000 in current assets and $855,000 in current liabilities. The company's managers want to increase the firm's inventory, which will be financed using short-term debt. How much can the firm increase its inventory without its current ratio falling below 2.2 (assuming all other current assets and current liabilities remain constant)?

Airspot Motors, Inc. could add up to $ in inventories. (Round to the nearest dollar.)

Reference no: EM131983097

Questions Cloud

What is short rebate that the broker paid on collateral : What is the short rebate that the broker paid on the collateral in this situation?

What is the appropriate quarterly standard deviation : You are in the process of assessing currency risk over the next quarter. What is the appropriate quarterly standard deviation?

Discuss the impact of the flow of dollars and euros : Discuss the impact of the flow of Dollars and Euros. What are some of the issues that might impact the price of the BMW.

What is the maximum number of secondary shares : What is the maximum number of secondary shares you could sell and still retain more than 50?% ownership of the? firm? How much would firm raise in that? case.

Current assets and current liabilities remain constant : Assuming all other current assets and current liabilities remain constant.

Calculate the market cap and dividend yield : Calculate the dividend yield. Calculate the market cap.

How many shares are outstanding and paid in dividends : How many shares are outstanding? How much was paid in dividends?

Expected return-standard deviation of return for portfolio : What are the expected return and standard deviation of return for a portfolio with 40% invested in X and 60% invested in Y?

Describe the difference between an inner join : Describe the difference between an INNER JOIN, a RIGHT JOIN, and a LEFT JOIN. Provide a business example where you would want to use each type of join.

User Account

All Pages