Balance Sheet Obsevations As of 12/31/11, Current Assests were $1,804,409 comprised principally of:
Cash: $ 738, 865
Accounts Receivable $ 944,636
Total Current Assets $ 1,804,409
The Accounts Receivable were due from a related company and are probably over 90 days outstanding which gives cause for concern with respect to account management and collectability.
For the same period, Current L:iabilities were $3,454,606 resulting in a best case scenario Quick Ratio of 0.52
From Note 20 of the Consolidated Financial Statements, in a Subsequent Event they appear to have raised a gross $1.2 MM via flow through shares. Assuming no interim revenues or expenses, this would give a gross Current Asset of $3,004,409 and a Quick Ratio of 0.86.
Given the present difficulties in raising cash, I wonder how they will continue to keep the store open.