Dancing Water's Business Analysis

Decent Essays
Internally between 2014 and 2015 asset management worsened in inventory turnover, fixed assets turnover, and total assets turnover. This suggests that Dancing Water's is holding too much inventory. High level's of inventory add to the net operating working capital. Assets turnover is based on fixed assets have had inflation because their fixed assets have been acquired for a longer period of time and it continues to increases in time. It also shows that the company isn't generating efficient volume. Sales should increase, some assets should be sold to increase production and help with turnover ratios if they get to out of hand. The only one that has increased is the days sales outstanding. This shouldn't increase. this tells the company that

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