Buy custom McDonald & Wendys Financial Statement
Essay's paper info
| Topic: |
Business
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| Number of pages / Number of words: |
6 / 1600 |
Essay's paper body
Since current ratios vary from industry to industry, the industry average determines if a firms current ratio is up to par, strength or a weakness. In any event if the current ratio is less than the industry average than an analyst or individual interested in investing might wonder why the firm isn't
balancing its current assets and liabilities better...
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On both McDonalds and Wendys website is says that the industry average for a current ratio is .60. So when comparing both firms, based on the industry average, McDonalds and Wendys are doing well and can both be efficiently liquidated. Liquidity refers to how quickly the firms current assets can be converted to cash...
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