Compare A and B company by using the given ratio. A least one page please Company Current Ratio: 2.55 Total asset Turn...
Compare A and B company by using the given ratio. A least one page please
- Company
Current Ratio: 2.55
Total asset Turnover: 0.60
Net Margin: 4.57
Gross Margin: 19.69
Return on Assets: 2.75
B) Company
Current Ratio: 3.16
Total Asset Turnover 0.54
Net margin 54.45
Gross Margin: 20.35
Return on Assets: 29.27
Homework Answers
Current Ratio is the ratio of Current Assets to current
liabilities. If current ratio is greater than 1 then higher is the
liquidity.
Current ratio of Company B is higher than current ratio of Company
A hence liquidity of Company B is higher than Company A. It means
its can easily pay off its current liabilities through its current
assets .
Total assets turnover is the ratio of sales to assets. It means how
efficiently the assets are used to get sales. The operational
efficiency of Company A is higher than Company B . Hence Company A
is able to convert assets to sales in a more efficient
manner.
Net margin is ratio of net income to sales. Net Margin of company B
is lot more than Company A. Profitability of Company B is much
higher. This could be because company B might have lower interest
expenses, depreciation and amortisation expenses or other non
operating expense as compared to Company A
Gross Margin is ratio of gross profit to sales. Gross Profit margin
of Company B is higher than Company A. This means revenues of
Company might be higher than Company A or the Cost of goods sold
might be lower than Company A. The operating profitability of
Company B is higher than Company A.
Return on Assets is ratio of Net income to Total assets ROA of
Company B is higher than Company A. The Profitability of company B
is lot higher . It is able to convert assets to profit in a more
efficient manner.
Add Answer to:
Compare A and B company by using the given ratio. A least one page please Company Current Ratio: 2.55 Total asset Turn...
French corp has an asset/equity ratio of 1.55. their current total asset turnover has recently fallen...
French corp has an asset/equity ratio of 1.55. their
current total asset turnover has recently fallen to 1.20, bringing
their roe to 9.1%
a. what is this firms profit margin?
b. if the company were able to improve its total asset turnover to
1.8, what would be their new roe?
A- Cells Assignment 3-4 Worksheet - Excel Home Insert Page Layout Formulas Data Review View Developer Tell me what you want to do... & Cut Arial - 12 A A...
Given the financial data in the popup window for Disney (DIS) and McDonald's (MCD), compare these...
Given the financial data in the popup window for Disney (DIS)
and McDonald's (MCD), compare these two companies using the
following financial ratios: debt ratio, current ratio, total
asset turnover, financial leverage, profit margin, and return on
equity. Which company would you invest in, either as a bondholder
or as a stockholder?
The total asset turnover ratio for Disney is:
The total asset turnover ratio for McDonald's is:
The financial leverage ratio for Disney is:
The financial leverage ratio for...
Problem # 1 (50 points) Given the Income Statement and Balance Sheet Compute: Current Ratio Acid-Test...
Problem # 1 (50 points) Given the Income Statement and Balance Sheet Compute: Current Ratio Acid-Test Ratio Days in Receivable Days in Inventory Operating Profit Margin Total Asset Tumover Fixed-asset turnover Debt Ratio Times Interest Earned Return on Equity Income Statement Balance Sheet Assets Cash Accounts Receivable Inventory Prepaid Expenses Total Current Assets Gross Plant and Equipment Accumulated Depreciation Net Fixed Assets Total Assets $200,000 $60,000 $100,000 $20,000 $380,000 $802,000 -$132,000 $670,000 $1,050,000 Sales (all credit) Cost of Goods Sold...
Indicate what is meant by the following ratio calculations. 1. Liquidity Ratios Current Ratio = Current...
Indicate what is meant by the following ratio calculations. 1. Liquidity Ratios Current Ratio = Current Assets Current Liabilities = 515800 626900 = 0.82 : 1 Quick Ratio = Quick Assets Current Liabilities = 42700 + 205800 626900 = 0.40 Cash Ratio = Cash & Cash Equivalents Current Liabilities = 42700 626900 = 0.0681 : 1 2. Turnover / Activity Ratios Inventory Turnover = COGS Average Inventories...
Company analysis. for General Motors (GM) and Ford Motor Company (F), compare these two companies using...
Company analysis.
for General Motors (GM) and Ford Motor Company (F), compare
these two companies using the following financial ratios: times
interest earned ratio, current ratio, total asset turnover,
financial leverage, profit margin, and return on equity. Which
company would you invest in, either as a bondholder or as a
stockholder?The times interest earned ratio for General Motors
is?(Round to four decimal places.)
General Motors Sales $155,447 EBIT $7,703 Interest Expense $299 Net Income $5,299 Current Assets $81,416 Total Assets...
RATIO ANALYSIS Question: The balance sheet and income statement for the JP Robard mfg company areas...
RATIO ANALYSIS Question: The balance sheet and income statement for the JP Robard mfg company areas follows: Particulars Amounts Cash Account receivable Inventories Current Assets Net Fixed Assets Total Assets Account payables Accrued Expenses Short Term Notes Payables Current Liabilities Long term Debt Owners' Equity 500 2000 1000 3500 4500 8000 1000 600 300 2000 2000 4000 8000 8000 (3300) 4700 (3000) 1700 (367) 1333 (533) 800 Total Liabilities and Owners Equity Net Sales (All Credit) Cost of Goods Sold...
I need this info, what is the ORI, total asset turn over, fixed assets, times interest earned ratio,...
I need this info, what is the ORI, total asset turn over, fixed assets, times interest earned ratio, debt ratio, current ratio, average collection period, return on common equity, inventory turnover ratio, total asset turn over. Jones CompanyBalance Sheet For the Year Ended 12/31/2015 Assets: Cash and marketable securities $ 400,000 Accounts receivable 1,025,000 Inventories 1,937,500 Prepaid expenses 124,000 Total current assets $3,486,500 Fixed assets 2,800,000 Less: accum. depreciation (1,087,500) Net fixed assets $1,712,500 Total assets $5,199,000 Liabilities: Accounts payable $ 340,000 Notes payable...
Concord Company reported the following information: Total assets, beginning of year $ 125,000 Total assets, end...
Concord Company reported the following information: Total assets, beginning of year $ 125,000 Total assets, end of year 75,000 For the current year: Net sales 850,000 Gross margin 300,000 Net income 400,000 What is the company’s total asset turnover ratio for the current year? (Round your answer to 1 decimal place.)
1. Compare the performance of S&S Air to the industry. For each ratio, comment on why...
1. Compare the performance of S&S Air to the industry. For
each ratio, comment on why it might be viewed as positive or
negative relative to the industry. Suppose you create an inventory
ratio calculated as inventory divided by current liabilities. How
do you think S&S Air’s ratio would compare to the industry
average?
Financial analysis calculations:
current ratio = 0.74
quick ratio = 0.39
cash ratio = 0.15
total asset turnover = 2.01
inventory turnover = 27.96
receivables turnover...
In 2018, FedEx had total assets of $52.9 billion, an asset turnover ratio of 1.65 times,...
In 2018, FedEx had total assets of $52.9 billion, an asset turnover ratio of 1.65 times, and a net profit margin of 13.5%. a. What is FedEx's return on assets? b. Find FedEx's ROE, given that 42.9% of the assets are financed with stockholders' equity. a. FedEx's return on assets (ROA) is %. (Round to two decimal places.) b. Given that 42.9% of the assets are financed with stockholders' equity, FedEx's return on equity (ROE) is %. (Round to two...
French corp has an asset/equity ratio of 1.55. their
current total asset turnover has recently fallen to 1.20, bringing
their roe to 9.1%
a. what is this firms profit margin?
b. if the company were able to improve its total asset turnover to
1.8, what would be their new roe?
A- Cells Assignment 3-4 Worksheet - Excel Home Insert Page Layout Formulas Data Review View Developer Tell me what you want to do... & Cut Arial - 12 A A...
Given the financial data in the popup window for Disney (DIS)
and McDonald's (MCD), compare these two companies using the
following financial ratios: debt ratio, current ratio, total
asset turnover, financial leverage, profit margin, and return on
equity. Which company would you invest in, either as a bondholder
or as a stockholder?
The total asset turnover ratio for Disney is:
The total asset turnover ratio for McDonald's is:
The financial leverage ratio for Disney is:
The financial leverage ratio for...
Problem # 1 (50 points) Given the Income Statement and Balance Sheet Compute: Current Ratio Acid-Test Ratio Days in Receivable Days in Inventory Operating Profit Margin Total Asset Tumover Fixed-asset turnover Debt Ratio Times Interest Earned Return on Equity Income Statement Balance Sheet Assets Cash Accounts Receivable Inventory Prepaid Expenses Total Current Assets Gross Plant and Equipment Accumulated Depreciation Net Fixed Assets Total Assets $200,000 $60,000 $100,000 $20,000 $380,000 $802,000 -$132,000 $670,000 $1,050,000 Sales (all credit) Cost of Goods Sold...
Company analysis.
for General Motors (GM) and Ford Motor Company (F), compare
these two companies using the following financial ratios: times
interest earned ratio, current ratio, total asset turnover,
financial leverage, profit margin, and return on equity. Which
company would you invest in, either as a bondholder or as a
stockholder?The times interest earned ratio for General Motors
is?(Round to four decimal places.)
General Motors Sales $155,447 EBIT $7,703 Interest Expense $299 Net Income $5,299 Current Assets $81,416 Total Assets...
RATIO ANALYSIS Question: The balance sheet and income statement for the JP Robard mfg company areas follows: Particulars Amounts Cash Account receivable Inventories Current Assets Net Fixed Assets Total Assets Account payables Accrued Expenses Short Term Notes Payables Current Liabilities Long term Debt Owners' Equity 500 2000 1000 3500 4500 8000 1000 600 300 2000 2000 4000 8000 8000 (3300) 4700 (3000) 1700 (367) 1333 (533) 800 Total Liabilities and Owners Equity Net Sales (All Credit) Cost of Goods Sold...
1. Compare the performance of S&S Air to the industry. For
each ratio, comment on why it might be viewed as positive or
negative relative to the industry. Suppose you create an inventory
ratio calculated as inventory divided by current liabilities. How
do you think S&S Air’s ratio would compare to the industry
average?
Financial analysis calculations:
current ratio = 0.74
quick ratio = 0.39
cash ratio = 0.15
total asset turnover = 2.01
inventory turnover = 27.96
receivables turnover...
In 2018, FedEx had total assets of $52.9 billion, an asset turnover ratio of 1.65 times, and a net profit margin of 13.5%. a. What is FedEx's return on assets? b. Find FedEx's ROE, given that 42.9% of the assets are financed with stockholders' equity. a. FedEx's return on assets (ROA) is %. (Round to two decimal places.) b. Given that 42.9% of the assets are financed with stockholders' equity, FedEx's return on equity (ROE) is %. (Round to two...
Most questions answered within 3 hours.
-
1.histones are proteins that make up nucleosomes. they bind to
the backbone of DNA in chromosomes....
asked 7 minutes ago -
What is the relationship between a variables value and their
probabilities as it is summarized by...
asked 15 minutes ago -
Balance Sheet
DR
CR
Cash
10000
AR
7000
Supplies
500
Equipment
5,000
Accum depreciation
...
asked 13 minutes ago -
Country
Continent
GDP (millions of US$)
Afghanistan
Asia
 
asked 16 minutes ago -
1) Use the Euclidean algorithm (write in pseudocode) to find the
greatest common divisor of 8...
asked 39 minutes ago -
Based upon the corporate proposal for this week, research three
different data storage options for your...
asked 40 minutes ago -
The equilibrium constant, Kp , for the following reaction is
1.04×10-2 at 548 K. NH4Cl(s) NH3(g)...
asked 1 hour ago -
During a recent budgeting discussion, the CFO at "NW Accounting
Services" proposed eliminating the marketing research...
asked 58 minutes ago -
Block B has a mass of 3.80kg and is moving to the left at a
speed...
asked 1 hour ago -
If n distinct objects are distributed randomly into
n distinct boxes, what is the probability that:...
asked 1 hour ago -
a) The frequency of light coming out from a laser source is 297
MHz. What is...
asked 1 hour ago -
LABORATORY EXERCISES:
Using nested for loops, write a java program to print the
pattern as shown...
asked 1 hour ago