As shown in the above graph the two ratios are used in accordance to show the liquidity of each company. The liquidity ratio is “used to determine a firm’s ability to satisfy its short-term obligations as they come due” in a firm’s operating cycle (Gitman & Zutter, p.65). The first ratio shown in the graph is the current ratio, and is one of the more popular ratios used in finance. Current ratio is a determinant of whether or not a company is able to have the funds for obligations as they…
When using information systems, it is essential to ask, “What is the ethical and socially responsible course of action?” A MODEL FOR THINKING ABOUT ETHICAL, SOCIAL, AND POLITICAL ISSUES Ethical, social, and political issues are closely linked. The ethical dilemma you may face as a manager of information systems typically is reflected in social and political debate. One way to think about these relationships is given in Figure 4-1. Imagine society as a more or less calm pond on a summer…
Hyundai 's first offerings in the United States were a failure, due to their reliability problems. The Excel and Scoupe sedans often fell apart with low mileage, and had numerous mechanical issues involving transmissions, electrical components, and the engine itself. After not being able to land a substantial chunk of the American marketplace, this South Korean automaker decided to double its efforts, in releasing new vehicles that would offer years of service at a reasonable price. They have…
With home invasions and burglaries becoming more and more prevalent, many homeowners are concerned about the security of their home and the safety of their family. Homeowners are now considering the option of installing home security systems to protect their family and their home. Home security systems are becoming more common and monitoring companies are becoming very popular as a way to increase the effectiveness of a home security system. Floodlights and alarms are good; however, a company…
provide entrants with the funds they need. For aspiring air carriers, for instance, financing is available to purchase expensive aircraft because of their high resale value, one reason why there have been numerous new airlines in almost every region. 5. Incumbency advantages independent of size. No matter what their size, incumbents may have cost or quality advantages not available to potential rivals. These advantages can stem from such sources as proprietary technology, preferential…