Essay about Individual Comparative Analysis Memo
Accounting – Annual Report Project
Annual Report Project | SJM | Medtronic | | 2008 | 2008 | Profitability Ratios | | | Return on Equity | 12.5% | 17.8% | Return on Assets | 13.13% | 7.9% | Earnings per Share | $1.12 | $1.94 | Return on Sales | 8.81% | 14.86% | Gross Margin Percentage | 73.17% | 80.60% | Solvency Ratios | | | Current Ratio | 2.02 | 2.37 | Working Capital | 1,051,539* | 4,313** | Quick Ratio | 1.20 | 1.52 | Interest Coverage Ratio | 28.93 | 90.44 | Activity/Asset Turnover Ratios | | | Receivable Turnover | N/A | N/A | Receivable Collection Period | N/A | N/A | Inventory Turnover | 2.33 | 2.67 | Average Days Supply*** | 154 days …show more content…
The main investing activity for each Medtronic during the current year was the purchasing of marketable securities, which totaled $2,960,000,000. However, for fiscal year 2008, the main investing activity was the sale and maturity of marketable securities, with a total of $8,557,000,000. In fiscal year 2007, the main activity was once again purchases of marketable securities, this time with a bigger total than 2009; $11,837,000,000. For SJM, the main investing activity for 2008 was the business acquisition payments, with a total of $490,027,000. For 2007, the main activity was the purchasing of property, plant and equipment, totaling $287,157,000. For year 2006, it was the same activity, however, with a total of $267,896,000.
The main financing activity for Medtronic for fiscal year 2009 was the issuance of long-term debt, with the amount of $1,250,000,000. For 2008, it was repurchasing of common stock with a total of $1,544,000,000. And for 2007, it was payments on long-term debt, totaling $1,880,000,000. SJM’s main financing activity for 2008 was the repayment of