Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Business Law & Ethics Expert

Swim Suits Unlimited is in a highly seasonal business and the given summary balance sheet data exhibit its assets and liabilities at peak and off-peak seasons (in thousands of dollars):

Peak Off-Peak

Cash $ 50 $ 30

Marketable securities 0 20

Accounts receivable 40 20

Inventories 100 50

Net fixed assets 500 500

Total assets $690 $620

Payables and accruals $ 30 $ 10

Short-term bank debt 50 0

Long-term debt 300 300

Common equity 310 310

Total claims $690 $620

From this data we might conclude that:

a) Swim Suit's current asset financing policy calls for precisely matching asset and liability maturities.

b) Swim Suit's current asset financing policy is relatively aggressive; that is, the company finances some of its permanent assets with the short-term discretionary debt.

c) Swim Suits follows a relatively conservative approach to current asset financing; that is, some of its short-term requirements are met by permanent capital.

d) Devoid of income statement data, we can't find out the aggressiveness or conservatism of the company's current asset financing policy.

e) Devoid of cash flow data, we can't find out the aggressiveness or conservatism of the company's current asset financing policy.

Business Law & Ethics, Finance

  • Category:- Business Law & Ethics
  • Reference No.:- M915782

Have any Question? 


Related Questions in Business Law & Ethics

1 what is the difference between criminal law and civil

1. What is the difference between criminal law and civil law? 2. What is tort law and what does it permit an individual to do? 3. What are the three primary types of public law? 4. Which law amended the Computer Fraud an ...

Projectnbsp training powerpoint for police officerspretend

Project:  Training PowerPoint for Police Officers Pretend you are a Police Academy instructor who needs to develop a PowerPoint presentation for police officers on an emerging technology that addresses a long-standing po ...

1maker manufactures printing presses news a publisher of a

1.Maker manufactures printing presses. News, a publisher of a local newspaper,was interested in purchasing a few presses. Rep, a representative of Maker, metwith Bill, the president of News, to describe the advantages of ...

A 30 pages long double space talk about the inter american

A 30 pages long double space talk about "the Inter American Court of Human Right" and "Commission". It must be written in an easy language. I have 8 pages talk about the Commission.

There are 2 assignments one paper and one 4 slide power

There are 2 assignments. One paper and one 4 slide power point. I - You own University Heights Apartments, a business that rents primarily to students.  One evening, your tenant Sharon is attacked by an intruder who forc ...

Ethical moral relativismin america many are comfortable

Ethical (Moral) Relativism In America, many are comfortable describing ethics as follows: "Well, what's right for me is right for me and what's right for you is right for you. Let's just agree to disagree." This is an af ...

Discussion response at least 275 words to the message below

Discussion response at least 275 words to the message below including cited information and any information to support your response. Where does court consolidation differ from court restructuring? How does court consoli ...

Question 1 the seller can recover the purchase price for

Question 1 The seller can recover the purchase price for the goods only under certain circumstances, including when: The buyer accepts, but fails to pay for the goods. The goods are destroyed after risk of loss passes to ...

Please visit the us small business administrations website

Please visit the U.S. Small Business Administration's website here - SBA , find the information about franchising and answer the following questions: https://www.sba.gov/ 1) List the two primary forms of business franchi ...

Question 1 an example of an ethical structure is a a

Question 1: An example of an ethical structure is __________ . A. a whistleblower policy B. an ethics officer C. a corporate credo D. a values statement Question 2: When you ask yourself whether you would be willing to b ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen