Question 2 (Liquidity ratios and limitations) Manitoba Manu ach ring tnc MMI has...
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Question 2 (Liquidity ratios and limitations) Manitoba Manu ach ring tnc MMI has a nan rom the Canadian National Rank ta he finance its working capital. The terms f the nan are that the bank will end MMI an amount up to 33% of ts nvantary ha ance and 5 % n its accounts receivable requires that MMT maintain a current ratin greater than 2. nformation relared to MMI's current assets and current labilities is shawn in the following table: ne n the laan covenants 116 S148 851 95 1,933 1,531 Accounts receivable nventary Other current assets Bank loan, current Accounts payable other ciurrant iahilities 22520 30 18 1,1016 B3D 37 85 Based cn the loan size requirement only of the loar covenant, what is the maximum amount of loan MM cauld borraw in each year? (Round answers to 2 decimal places, e.g. 18.42.) Maximum loan (in
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