Aspect ratio

specific technical knowledge. item The financial plan shows a good profit margin that can be considered for investment which is expected in the industry. However, some other financial decisions have led to distortions on return on assets and liquidity ratios. Better management of cash flow with revising policies on credit sales can give a more favorable…

myriad ratio analyses can be performed to examine the financial health of the company. Analysis There are four categories of ratio analysis that measure different aspects of a company’s operations: profitability, short-term liquidity, long-term solvency, and market valuation. For this assessment, I calculated five financial ratios: gross profit margin, current ratio and quick ratio, and debt ratio and debt to equity ratio (Heisinger & Hoyle, 2012). Profitability Ratios Profitability ratios…

Financial Analysis Profitability vs. Solvency The charts below show some of the most important aspects of the financial analysis. As you can see, CanGo is around the same ranges as Amazon and iTunes under the profitability and solvency ratios. This means that CanGo’s return on net sales is better than Amazon, however, return on net sales is not when compared to Amazon. The debt ratio is another way to see how well a company is managing their finances. As shown in the Profitability VS. Solvency…

interestingly, why people are considered more attractive over others. The Golden Ratio is a mathematical number that is a determinant factor of why some people are considered more good-looking than others. Although the accuracy of the Golden Ratio is constantly and understandably questioned, it does offer up a respectable amount of evidence as to why some individuals are immediately labeled attractive over others. The Golden Ratio should be considered accurate to determine beauty because of…

Ratio analysis When evaluating the performance of ORL, financial ratio from different aspects will be considered together. 1. Profitability 1.1 ROE ROTON’s ROE has experienced fluctuation through the three financial years. The highest value represented the amount of 84.9% in 2011; on the other hand, the lowest value pointed 66.5% in the last financial year. The ROE of OROTON is sliding from 2011 to 2013. The downward trend indicates the management of ORL might not well manage the profits based…

Ratio Analysis Table 4. Industry Average Ratios Table 5. Ross Stores Ratios Tables 4 and 5 represent the industry average ratios for the past five years, and the Ross ratios for the same five years respectively. Liquidity ratios are a measure used to find a company ability to pay its short-term debt obligations. If the ratio is high, the company is successfully paying its debt in a timely matter. The tables show a decreasing trend in the industry, current ratio, quick ratio, and cash ratio…

financial position and the problems faced by PLL by assessing varied financial ratio. After assessing profitability, efficiency,…

Over the past five years, the gross profit rate has stayed relatively stable. Punj Lloyd’s debt to equity ratio has stayed below 2 over the past five years which bodes well for how the company is juggling their finances in these tough economic times but they should keep an eye on the rising debt-equity ratio. The accounts receivable days in aging is over double the amount of what is recommended for the construction industry. Generally it is recommended that…

The current ratio calculation helps to determine in the short term how well a company is able to cover its liabilities in relation to their current assets. To assist a company in evaluating how much debt they have and whether the debt is too high would be the debt to assets ratio. This formula takes the company’s debt in the form of notes payable, long term bonds and long term debt and splits the…

Underlying Assumption There are two possible solutions that we suggest earlier to solve this case, the first one is for Temasek to keep their shares in ABC Learning and the second is to sell it. We have several underlying assumptions to support each of our proposed solutions, that will help us to weigh the cost and benefit of them in order to rationalize our final decision. For keeping their shares, we have two main reasons. The first one is because Temasek has acquired a significant percentage…