DLMM01 Financial Management and Control Assignment: Analyzing Liquidity and Asset Management Efficiency of Burrito & Quesadilla Inc in 2019

Burrito & Quesadilla Inc 2019 Liquidity & Asset Analysis

Using the information, and based on the role you are assuming, answer the following questions:

a. In the annual report to the shareholders, the CEO of Burrito and Quesadilla Inc wrote, “2019 was a good year for the firm with respect to our ability to meet our short-term obligations. We had higher liquidity largely, than previous years due to an increase in highly liquid current assets (cash, account receivables and short-term marketable securities).” Is the CEO correct? Explain and use only relevant information in your analysis. (50%)

b. What can you say about the firm’s asset management? Be as complete as possible given the above information, but do not use any irrelevant information. (50%)

Guidelines

• This assignment should be submitted in a Word document in an essay form no later than 13:00 (Uk time) on Monday of next week.
• Please make sure that you correctly cite and reference all secondary sources you use and include a reference list.
• The reference list will not be included in your final word count. Your document should have a maximum of 1000 words