Performance Ratio Analysis
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The aim of these questions is to assess how an decrease in current assets will impact on the firm's performance ratios.
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What are the likely consequences of a reduction in the current assets on the performance ratios? What does this imply for the company? Assume stocks decrease to £17,500, debtors fall to £10,000 and cash at the bank falls to £6,000. 
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(Type your answer to the previous question in the box below, then click on explain)
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