Analyze the financial position of PQR Services, a consulting firm, based on the provided financial...
70.2K
Verified Solution
Link Copied!
Question
Accounting
Analyze the financial position of PQR Services, a consulting firm, based on the provided financial data for the fiscal year ending December 31, 2023, to determine whether the company is likely to continue as a going concern.
Financial Data:
Total assets: $30,000,000
Total liabilities: $20,000,000
Total equity: $10,000,000
Net income for the year: $1,200,000
Cash and cash equivalents: $3,000,000
Accounts receivable: $5,000,000
Inventory: $0
Property, plant, and equipment: $10,000,000
Long-term debt: $15,000,000
Accounts payable: $8,000,000
Accrued expenses: $2,000,000
Revenue for the year: $20,000,000
Cost of goods sold: $0
Operating expenses: $12,000,000
Income tax expense: $800,000
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
