Volcom, Inc., is a clothing designer, marketer, and distributor, known widely for its motto of…

Volcom, Inc., is a clothing designer, marketer, and distributor, known widely for its motto of…

Volcom, Inc., is a clothing designer, marketer, and distributor, known widely for its motto of “youth against establishment.” The company reported the following in recent balance sheets (amounts in thousands). Required: 1. Calculate the current ratio at March 31, 2011 and December 31, 2010. 2. Did the company s current ratio increase or decrease? What does this imply about the company s ability to pay its current liabilities as they come due? 3. What would Volcom s current ratio have been if, on March 31, 2011, the company were to have paid down $10,000 of its Accounts Payable? Does paying down Accounts Payable in this case increase or decrease the current ratio? 4. Are the company s total assets financed primarily by liabilities or stockholders equity at March 31, 2011?

Looking for a similar assignment? Get help from our qualified experts!

Order Now

Related Posts