Question content area bottom Part 1 a. The company's net working capital for 2011 is $ (Enter your answer in thousands of dollars.) Part 2 The company's current ratio for 2011 is (Round to two decimal places.) Part 3 The company's net working capital for 2012 is $ (Enter your answer in thousands of dollars.) Part 4 The company's current ratio for 2012 is (Round to two decimal places.) Part 5 The company's net working capital for 2013 is $ (Enter your answer in thousands of dollars.) Part 6 The company's current ratio for 2013 is (Round to two decimal places.) Part 7 Is the trend in Deere's liquidity improving over this period? (Select the best choice below.) A. No, the firm's net working capital remains negative throughout the years and the current ratio is consistently less than one. B. Yes, the firm's net working capital remains negative throughout the years and the current ratio is consistently less than one. C. No, the firm's net working capital remains positive throughout the years and the current ratio is consistently higher than one. D. Yes, the firm's net working capital remains positive throughout the years and the current ratio is consistently higher than one.

Entrepreneurial Finance

6th Edition

ISBN:9781337635653

Author:Leach

Publisher:Leach

Chapter9: Projecting Financial Statements

Section: Chapter Questions

Problem 3bM

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The following table contains current asset and current liability balances for Deere and Company (DE):

Question content area bottom

Part 1

a. The company's net working capital for 2011 is

(Enter your answer in thousands of dollars.)

Part 2

The company's current ratio for 2011 is

(Round to two decimal places.)

Part 3

The company's net working capital for 2012 is

(Enter your answer in thousands of dollars.)

Part 4

The company's current ratio for 2012 is

(Round to two decimal places.)

Part 5

The company's net working capital for 2013 is

(Enter your answer in thousands of dollars.)

Part 6

The company's current ratio for 2013 is

(Round to two decimal places.)

Part 7 Is the trend in Deere's liquidity improving over this period? (Select the best choice below.)

No, the firm's net working capital remains negative throughout the years and the current ratio is consistently less than one.

Yes, the firm's net working capital remains negative throughout the years and the current ratio is consistently less than one.

No, the firm's net working capital remains positive throughout the years and the current ratio is consistently higher than one.

Yes, the firm's net working capital remains positive throughout the years and the current ratio is consistently higher than one.

Data table
($ thousands)
Current assets
Cash and cash equivalents
Short-term investments
Net receivables
Inventory
Total current assets
Current liabilities
Accounts payable
Short-term/current long-term debt
Other current liabilities
Total current liabilities
2013
Print
2,290,400
0
3,949,300
3,016,200
9,255,900
6,546,400
8,560,900
0
15,107,300
2012
Done
2,199,700
1,589,300
3,643,100
2,206,500
9,638,600
(Click on the icon in order to copy its contents into a spreadsheet.)
3,098,300
10,376,400
2,779,700
16,254,400
2011
1,625,400
0
3,584,100
1,935,400
7,144,900
4,611,100
8,114,200
0
12,725,300
I
X

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The following table contains current asset and current liability balances for Deere and Company​ (DE):

Question content area bottom

Part 1

Part 2

Part 3

Part 4

Part 5

Part 6

Part 7

Is the trend in​ Deere's liquidity improving over this​ period? ​(Select the best choice​ below.)

The following table contains current asset and current liability balances for Deere and Company (DE):

Is the trend in Deere's liquidity improving over this period? (Select the best choice below.)