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Question 3 (8 marks)
The following totals have been extracted from the Balance Sheet for Winkler Trading at 30 June 2020
Required
- Calculate the working capital of the business. (You must show the formula and all workings to gain full marks)
- Calculate the working capital ratio. (You must show the formula and all workings to gain full marks)
- Do you think that this business has a liquidity problem? Explain with reference to your answer in part b.
Expert's Answer
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