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Financial ratios Essays & Research Papers

Best Financial ratios Essays

  • Financial Ratios and Ratio - 4182 Words 1. Introduction This report provides a financial quarterly trend analysis for Costco Wholesale Corporation, Inc. founded in 1983. Costco Wholesale Corporation is the seventh largest retailer company in the world. As of July 2012, it was the fifth largest retailer, and the largest membership warehouse club chain in the United States ("Wikipedia, the free," 2011). Costco Wholesale Corporation’s stock is publicly traded on the National Association of Securities Dealers Automated Quotation... 4,182 Words | 17 Pages
  • Financial Ratios and Current Ratio FINANCIAL RATIO ANALYSIS Based on the table 1, it shows that the financial ratio was divided into four parts which are liquidity, assets management, long-term debt paying ability and profitability. Liquidity ratios are particularly interesting to short-term creditors and it is focus on current assets and current liability. In addition, General Thumb of rule for the current ratio should be at least 2:1. For the Gemini Electronic the current ratio is consistent and it is increase in year 2006.... 311 Words | 1 Page
  • Financial Ratio - 1799 Words Tests of Profitability Profitability is a primary measure of the overall success of a company and is necessary for a company’s survival. Several test of profitability focus on measuring the adequacy of income by comparing it to other items reported on the financial statements. 1) Return on Equity: One of the most important profitability ratios is return on equity (ROE). ROE is the amount of net income returned as a percentage of shareholders equity. Return on equity measures a... 1,799 Words | 8 Pages
  • All Financial ratios Essays

  • FINANCIAL RATIOS - 616 Words FINANCIAL RATIOS Financial ratios are indicators of a company’s performance as discernable from the company’s Balance Sheet and income Statement. We will discuss some of the simple ratios of a company and talk about their significance. Liquidity Ratios: Show the company’s ability to pay of its current liabilities from its current assets. 1. Current Ratio Current assets should be significantly higher than current liabilities so that the current ratio is higher than 2:1. 2. Quick... 616 Words | 4 Pages
  • Course: Financial Ratios and Ratio Your Course Project Financial Statement Analysis Project -- A Comparative Analysis of Oracle Corporation and Microsoft Corporation Here is the link for the financial statements for Oracle Corporation for the fiscal year ending 2011. First, select 2011 using the drop-down arrow labeled for Year on the right-hand side of the page, and then select Annual Reports using the drop-down arrow labeled Filing Type on the left-hand side of the page. You should select the 10k dated 6/28/2011 and... 1,189 Words | 5 Pages
  • Financial Ratios - 2008 Words LIQUIDITY RATIOS: The first ratios we'll take a look at in this tutorial are the liquidity ratios. Liquidity ratios attempt to measure a company's ability to pay off its short-term debt obligations. This is done by comparing a company's most liquid assets (or, those that can be easily converted to cash), its short-term liabilities. In general, the greater the coverage of liquid assets to short-term liabilities... 2,008 Words | 8 Pages
  • Financial Ratio - 3640 Words The income statement has some limitations since it reflects accounting principles. For example, a company's depreciation expense is based on the cost of the assets it has acquired and is using in its business. The resulting depreciation expense may not be a good indicator of the economic value of the asset being used up. To illustrate this point let's assume that a company's buildings and equipment have been fully depreciated and therefore there will be no depreciation expense for those... 3,640 Words | 19 Pages
  • financial ratios - 1144 Words FINANCIAL RATIOS Gross Profit to Sales (Gross Profit Ratio): profitability ratio that shows the relationship between gross profit and total net sales revenue. Gross margin/Net sales The gross margin is not an exact estimate of the company's pricing strategy but it does give a good indication of financial health. Without an adequate gross margin, a company will be unable to pay its operating and other expenses and build for the future. In general, a company's gross profit margin should be... 1,144 Words | 4 Pages
  • Financial Ratio - 9843 Words Chapter – 1 Introduction Introduction Financial Management is the specific area of finance dealing with the financial decision corporations make, and the tools and analysis used to make the decisions. The discipline as a whole may be divided between long-term and short-term decisions and techniques. Both share the same goal of enhancing firm value by ensuring that return on capital exceeds cost of capital, without taking excessive financial risks. Capital... 9,843 Words | 57 Pages
  • Financial Ratios - 1213 Words Name: University: Professor: Date of submission: Introduction Ratio analysis is a strategy used to aid in assessing the financial position of an organization. In healthcare finance, there are a lot of financial ratios, which have multiple descriptions. This report focuses on roles and analysis of financial ratios by category. In addition, it describes the comparison of financial ratios and national norms in... 1,213 Words | 5 Pages
  • Financial Ratios - 1448 Words Tootsie Roll Net Profit Margin: Earnings Before Tax (EBT) – Taxes/Net Product Sales OR Net income/Sales Net Profit Margin is a ratio of profitability that measures how much out of every dollar of sales a company actually keeps in earnings. A higher profit margin indicates a more profitable company that has better control over its costs compared to its competitors. 43938/528369 = 8.32% This is above industry average of 7.23%. Tootsie Roll’s profit margin is 8.32%, meaning the company has... 1,448 Words | 5 Pages
  • Financial Ratios - 1286 Words GROUP 1 REPORT FINANCIAL RATIOS Financial ratios are useful indicators of a firm’s performance and financial situation. Most ratios can be calculated from information provided by the financial statements. Financial ratios can be used to analyze trends and to compare the firm’s financials to those of other firms. In some cases, ratio analysis can predict future bankruptcy. SOURCES OF DATA FOR FINANCIAL RATIOS     Balance Sheet Income Statement Statement of Cash Flows Statement of... 1,286 Words | 6 Pages
  • Financial Ratios - 4389 Words FINANCIAL RATIOS LIQUIDITY RATIOS Current Ratio: = current assets / current liabilities ▪ The higher the ratio, the greater the "cushion" between current obligations and a firm's ability to meet them. ▪ Use: An indication of a company's ability to meet short-term debt obligations; the higher the ratio, the more liquid the company is. Current ratio is equal to current assets divided by current liabilities. If the current assets of a company are more than twice the current... 4,389 Words | 18 Pages
  • Financial Ratio & Financial Statement QUESTION 1 i. Current Ratio = Current Assets/Current Liability = $ 14,651,000/$ 19,639,000 = 0.750 ii. Quick Ratio = (Current Assets – Inventory) / Current Liability = ($ 14,651,000 – $ 6,136,000) / $ 19,539,000 = 0.436 iii. Total Assets Turnover = Sales/Total Assets = $ 167,310,000/$ 108,615,000 = 1.540 iv. Inventory Turnover = COGS/Inventory = $ 117,910,000/$ 6,136,000 = 19.216 v. Receivable Turnover = Sales/Account Receivables = $ 167,310,000/$... 1,501 Words | 7 Pages
  • Financial Ratios - 2254 Words TABLE OF CONTENTS Types of Financial Ratios Liquidity Ratio Quick Ratio Interpretation of Quick Ratio Efficiency Ratio Asset Turnover Ratio Interpretation of Asset Turnover Ratio Profitability Ratio * Net Profit margin * Return on net worth EPS(Earning Per Share) Interpretation of EPS Price-to-Earnings ratio Capital Structure Ratio Asset-to-Equity Ratio Interpretation of Asset-to-Equity Ratio Debt-to-Equity Ratio Interpretation of Debt-to-Equity Ratio Interpretation of... 2,254 Words | 9 Pages
  • Financial Ratios - 655 Words Interpreting Financial Results FIN/571 July 22, 2013 Interpreting Financial Results Liquidity: Current Ratio Parrino, Kidwell, & Bates (2012) detail the current ratio as current assets divided by liabilities. The current ratio identifies a firm’s potential to pay short-term liabilities; higher liquidity is a good sign for potential creditors (Parrino et al., 2012). At the same time, however, the current ratio should not greatly exceed benchmarks of other competitors (Parrino et al.,... 655 Words | 3 Pages
  • Common Financial Ratios Common Financial Ratios Common Financial Ratios COMMON FINANCIAL RATIOS 1 Current Ratio Current Ratio = Current Asset/ Current Liability 2011 2012 2747.2/3087.1 4230.6/4869.6 0.0897 0.8687 ------------------------------------------------- INTERPRETATION In 2011 the current ratio is 0.0897 which means company has not enough resources to pay its debt over the next business cycle (usually 12 months) by comparing firm's current assets to its current... 995 Words | 7 Pages
  • Financial Ratios and Dividend Payout Ratio 1. Which financial ratio indicates the percentage of profit that is paid out as dividends? dividend payout ratio 2. Constant dollars are dollars adjusted for inflation to make them comparable over various years. True 3. According to Schilit, the search for hidden weaknesses in a company's performance is known as forensic accounting. 4. Which of the following is NOT one of the categories of important financial ratios that is mentioned in the text to help assess an... 476 Words | 2 Pages
  • Financial Ratio Analysis - 2705 Words INSTITUTE OF COST AND MANAGEMENT ACCOUNTANTS OF PAKISTAN REPORT ON RATIO ANALYSIS OF M/S RANI LIMITED PREPARED FOR: Board of Directors PREPARED BY: Management Accountant TABLE OF CONTENTS Particulars  Executive Summary  Introduction Page No. 3-4 5  Financial Position and Ratio Analysis 6 - 10  Suggestions & Conclusion 11 - 12  Appendices     Horizontal & Vertical Analysis of Income Statement Comparative Ratios & averages Trend of Ratios... 2,705 Words | 24 Pages
  • Itv Plc Financial Ratios ITV Plc is a company on UK london Stock Exchange. This report calculates it important financial ratios to give a pitcure of its financial position in the market comparing by comaparing it to its industry average. From Annual report of year 2011 of ITV Plc . Financial Performance Analysis: This section aims to reflect the financial performance of the ITV Plc by analysing a range of financial ratios from the last two years. A comprehensive evaluation is provided of the significant ratios and... 1,623 Words | 5 Pages
  • Modul Assignment Financial Ratio Financial Ratio of PT.SAMPOERNA AGRO “For years 2007-2011” Quinta Juandini 022111135 Putri Utami Kusuma Dewi 022111168 28/11/2012 Quinta Juandini 022111135 Putri Utami Kusuma Dewi 022111168 28/11/2012 Financial Ratio of PT.SAMPOERNA AGRO “For years 2007-2011” This is financial statement’s analysis of PT Sampoerna Agro for years 2007-2011 Hope this report can help us in improving our knowledge especially in financial management. Financial Ratio of PT.SAMPOERNA AGRO... 5,342 Words | 24 Pages
  • Financial Ratio Analysis Notes 3-2 Financial ratio analysis is conducted by managers, equity investors, long-term creditors, and short-term creditors. What is the primary emphasis of each of these groups in evaluating ratios? Managers use financial statements to monitor measurements like debt leverage, costs, sales, assets and liabilities. Financial statements help managers assess achievement of financial goals. Analysis of financial ratio helps equity investors to know whether their investment earnings any return or... 656 Words | 2 Pages
  • Cox Kings Financial Ratios DAYANANDA SAGAR COLLEGE OF ENGINEERING Financial Ratio Analysis Submitted To: Mrs. Padma Faculty Member Department of MBA-VTU Submitted By: Mr.Santosh Hegde 1DS12MBA62 MBA 2nd Semester CONTENTS 1 About Cox & Kings 2 Balance Sheet for 2009-2012 3 Profit & Loss Account for 2009-2012 4 Cash Flow Statement for 2009-2012 5 Financial Ratios Liquidity Ratio Current Ratio Quick Ratio Long Term Solvency Ratio Debt Equity... 2,018 Words | 8 Pages
  • Financial Ratio Analysis - 1949 Words Financial Ratio Analysis Paper Financial Ratio Analysis (Fiscal year of 2009 and 2010) Liquidity of the agency Current ratios=current assets (cash+accounts receivable+inventory)current liability Current ratios (2009) = (9690+25391) / (6027+8399) = 2.43 Current ratios (2010) = (15799+10123+60333+32119) / (24813+5459) = 3.91 The two ratios show that in the fiscal year of 2009, for every dollar the agency owed, it had 2.43 dollars to pay. In the fiscal year of 2010, the liquidity... 1,949 Words | 6 Pages
  • American Airlines Financial Ratio Summary of the Company American Airlines, Inc. (American) was founded in 1934 and is the principal subsidiary of AMR Corporation. American provides aircraft services to around 160 destinations around the world. American Airlines has connections to 3 regional carriers. Two carriers are owned by AMR (American Eagle and Executive Airlines). The third carrier is owned by a third party (Republic Airways Holdings) that has no connection to AMR. These regional carriers serve to connect feed... 1,781 Words | 10 Pages
  • Riordan's Manufacturing Financial Ratios Running head: RIORDAN MANUFACTURING’S FINANCIAL RATIOS Riordan Manufacturing’s Financial Ratios University of Phoenix Riordan Manufacturing’s Financial Ratios Riordan Manufacturing, a global plastics manufacturer was founded by Dr. Riordan in 1991. Today the corporation has expanded from the fan manufacturing plant in Michigan into a manufacturer employing 550 people with projected annual earnings of $46 million. Riordan’s has facilities located in America and China and the major... 1,816 Words | 7 Pages
  • financial ratio analysis - 1873 Words CHAPTER 3 ANALYSIS OF FINANCIAL STATEMENTS  R ATIO ANALYSIS  LIQUIDITY  ASSET MANAGEMENT  DEBT MANAGEMENT  PROFITABILITY 4-1 FINANCIAL RATIO ANALYSIS DEFINITION  the calculation and comparison of ratios which are derived from the information in a company's financial statements. Why are ratios useful?  Ratios standardize numbers and facilitate comparisons.  Ratios are used to highlight weaknesses and strengths.  Ratio comparisons should be made through time... 1,873 Words | 37 Pages
  • Financial Ratios and Sales - 10334 Words 1. (TCO A) Which of the following statements is CORRECT? (Points : 10) One of the disadvantages of a sole proprietorship is that the proprietor is exposed to unlimited liability. It is generally easier to transfer one’s ownership interest in a partnership than in a corporation. One of the advantages of the corporate form of organization is that it avoids double taxation. One of the advantages of a corporation from a social standpoint is that every stockholder... 10,334 Words | 62 Pages
  • Financial Ratios and Hershey - 6093 Words A. TWO KEY LESSONS LEARNT FROM THIS CASE Hershey Company is famous known for being the biggest manufacturer of chocolates and confectionery products in North America and grocery products in over 60 countries worldwide. In 2009, Hershey sales up to 3.23 percent. Advertising expenses increased by 46 percent as the company continued to promote iconic brands such as the Hershey Kiss and Reese’s products. Due to lower commodity prices, the company plans to discontinue their Cacao Reserve... 6,093 Words | 24 Pages
  • Financial Ratio Analysis Report FINANCIAL RATIO ANALYSIS REPORT The fiscal year 2004 was a relatively soft year for Barnes & Noble, Incorporated (B&N). Blockbuster nonfiction books that came out during the year may not have come from the company, but business remained strong. This is due to the million of books already in the market, including phenomenal fiction hits "The Da Vinci Code," "The Five People You Meet in Heaven," and "The Rule of Four," and thousands of new releases during the year. This claim was supported by... 1,676 Words | 4 Pages
  • Riordan Manufacturing Financial Ratios Riordan Manufacturing’s Financial Ratios Riordan Manufacturing, Inc. (Riordan) is a publically held corporation established in 1992, specializing in the manufacturing of plastic injection molding with facilities in California, Michigan, Georgia, and China. In 2000, the company expanded the manufacturing operations to China. Financial reports (Appendix A and B) for the fiscal years 2004 and 2005 depict the financial position of the company. Ratios calculated from Riordan’s financial... 887 Words | 4 Pages
  • Financial Ratio Analysis - 1245 Words Financial Ratio Analysis Return on Equity (ROE) ROE measures the profitability of a company, it shows how much of profit can be generated by each dollar of common stockholders’ equity. The higher the value of ROE means that the company is generating income efficiently. The net benefit that shareholders’ are receiving from investing their capital in the financial firm can be estimated by ROE. Usually, investors will compare and check the trend of ROE of different companies to make sure... 1,245 Words | 4 Pages
  • Financial Ratio Analysis - 11313 Words ------------------------------------------------- FINANCIAL RATIO ANALYSIS PROCTER & GAMBLE | PFIZER INC JANIE PRINCE FINANCE 405 | FALL 2012 ------------------------------------------------- Company Backgrounds Procter & Gamble William Procter and James Gamble, immigrants from England and Ireland respectively, met when they married into the Norris family. Their father-in-law suggested they build their own company since both men had useful trades- Procter was a... 11,313 Words | 35 Pages
  • Financial Ratio and Company - 4506 Words Kraft Foods Inc. - 2009 Case Notes Prepared by: Dr. Mernoush Banton Case Author: Kristopher J. Blanchard A. Case Abstract Kraft Foods Inc. ( is a comprehensive strategic management case that includes the company’s calendar December 31, 2008 financial statements, competitor information and more. The case time setting is the year 2009. Sufficient internal and external data are provided to enable students to evaluate current strategies and recommend a... 4,506 Words | 17 Pages
  • Financial Ratio Analysis - 6931 Words Table of Contents 1 Background information on Gamuda Berhad ...................................................... 1 2 Background information on YTL Corporation Berhad.......................................... 1 2.1.1 2.2 3 4 Scope for the report ...................................................................................... 2 Financial statements of the companies (balance sheet and income statements) 3 3.1 Balance sheet... 6,931 Words | 50 Pages
  • Financial Ratios and Analysis - 255 Words Financial ratios and analysis Loans to deposits ratio (loans/deposits) Long-term: 20266/20142 = 100.62 % This ratio shows whether our bank has the ability to cover withdrawals made by the customers. The loan to deposit ratio can be used by investors and internally by the company to determine the financial institutions short term viability. According to our number of 100.62%, the bank has enough loans to cover for deposits if they were due in the long-term. Although the number is good to... 255 Words | 1 Page
  • Financial Ratios for Managers and Investors The ratios considered useful by upper management will be different than what an investor consider useful. Senior management will be concerned with the ratio like return on total assets because they want to know how the company is fairing overall and whether they will be able to meet the debt holders liability and shareholders expectation. An investor will be more concerned with ratios like return on equity because they just want to know how whether they will be able to make profit on their... 325 Words | 1 Page
  • Financial Ratio Calculations - 2548 Words ANALYSIS REPORT FOR A PROSPECTIVE SHAREHOLDER Terms of Reference 1. To determine whether Ted Baker is worth investing into 2. To compare financial ratios over the last five years 3. To identify problem areas and good signs for investment I will then come to a clear conclusion about Ted Baker’s financial performance and make an informed recommendation to a potential shareholder. INTRODUCTION The report was requested by a potential shareholder, Will be analyzing the... 2,548 Words | 9 Pages
  • Financial Ratio and Reebok International Current Situation Overall, the current situation of Reebok International is satisfactory. Reebok reports improved third quarter 2002 earnings, which have given the company encouragement to proceed with their long-term planning for 2003. Reebok currently maintains a position in the top three athletic shoe brands, and plans to continue expanding its product line and improving its brand image. Accounts receivable at December 31, 2002, increased by $38.4 million December 31, 2001, an increase of... 4,268 Words | 16 Pages
  • Financial Ratio Analysis - 3428 Words | Comparative Ratio Analysis of Three Listed CompaniesOf ICT Sector | | | | | August 08, 2012 | TABLE OF CONTENT Title | Page No | Letter of Transmittal | 3 | Acknowledgement | 4 | Introduction and Rationale of the study | 6 | Objectives | 6 | Sources of Data | 6 | Methodology | 7 | Findings of the Ratio Analysis | 8 | Liquidity Ratio | 8 | Debt Ratio | 9 | Profitability/Performance | 10 | Activity Ratio | 13 | Market Performance | 18 |... 3,428 Words | 13 Pages
  • Importance of Financial Ratios - 2165 Words Report on analysis of the importance of financial performances and comparison of financial ratios of Chancellors Hotel with another business in the same industry and industry averages. BA (Hons) 1st Year International Hospitality Management Dmitrijs Sokolenko Student ID: 12110023 Supervisor: Amanda White Hollings Faculty Manchester Metropolitan University Old Hall Lane Manchester M14 6HR January 2013 Executive summary The Report below is about analysis of the importance... 2,165 Words | 8 Pages
  • Financial Ratios and Division Managers P1-5 A) The front desk receptionist routinely takes an extra 20 minutes of lunch to run personal errands. Agency Problem: she took an extra 20 minutes to do her personal errands instead of working, which she puts her own self interests before the best interests of the company. Occurred cost: the salary that the company pays to her. The solution would depend on the boss on her work performance in the past. If she has an important personal errand to do during that time, then boss might... 2,013 Words | 7 Pages
  • Honda Financial Ratios Analysis A Financial Ratio Quarterly Trend Analysis of Honda Motor Co Ltd Stock Symbol: HMC Listed on the New York Stock Exchange Prepared for: Deanne Butchey Department of Finance and Real Estate Florida International University Course: FIN 4606 By: xxxxxxxxxx   Recommendations for Investors and Lenders Would you place a personal deposit of one million dollars or more in the publicly traded stock of this company? Honda is considered to be one of the best auto makers in the... 1,822 Words | 6 Pages
  • Padini's Financial Ratio - 6499 Words Question (a) Company’s Background History Padini Holdings Berhad began as a backend operation in Malaysia’s clothing and accessories industry. It has entered the new millennium as a major force in Malaysia’s multibillion textiles and garments industry. It is now a brand leader involved in the manufacturing, distribution and retail of its own fashion labels through 190 freestanding stores and in-house outlets. Besides operating in Malaysia, they have also carried the Made-in-Malaysia... 6,499 Words | 22 Pages
  • Checklist of Financial Ratios - 610 Words Checklist of Financial Ratios Financial ratios allow a business owner to analyze and assess the firm's financial performance and position over a period of time. By computing the financial ratios, you can also detect certain relationships between the different types of information. It gives you a quick indication of the firm's performance in the areas of liquidity, profitability, capital structure as well as the financial position and potential risk involved. | | 1) | | Asset... 610 Words | 2 Pages
  • Financial Ratio and Costco - 1614 Words What is competition like in the North American wholesale club industry? Which of the fi ve competitive forces is strongest and why? Use the information in Figures 3.4, 3.5, 3.6, 3.7, and 3.8 (and the related chapter discussions on pp. 57-70) to do complete five-force analysis of competition in the North American wholesale club industry. 2. Do all three warehouse club rivals—Costco, Sam’s, and BJ’s Wholesale—have highly similar strategies? What differences in their strategies are apparent? Does... 1,614 Words | 5 Pages
  • Financial Ratio and Costco - 2253 Words Acct Info for Decision Making Project on Costco Wholesale Corp. Costco Group 2012 History & Background Founded by James (Jim) Sinegl and Jeffrey H. Brotman, Costco opened its first warehouse in Seattle, Washington, on September 15, 1983. Sinegal had started in wholesale distribution by working forSol Price at both FedMart and Price Club. Brotman, an attorney from an old Seattle retailing family, had also been involved in retail distribution from an early age. Wal-Mart founder Sam... 2,253 Words | 8 Pages
  • Interpreting Financial Ratios - 373 Words NAME ACC230 Checkpoint # 2 Interpreting Financial Ratios Date From what I have read and gathered; over the past (3) three years, Luna Lighting financials does have the possibility to expand within the next few years. The companies average collection period on money has decreased in the last three years and is better than industry average. The inventory turnover rate has maintained at steady level... 373 Words | 3 Pages
  • Financial ratios analysis - 757 Words  Accounting: A User Perspective Assignment 2 April 2014 Prepared by Marcelo De la cruz Plejo Student ID, z3479895 Master of Business and Technology GBAT9120 Accounting: A User Perspective – Semester 1 - 2014 Facilitator, Ken Trottman 1. Question 1 [14 marks] Ratio 2014 Calculations Results 2013 Calculations Results 1. Return on Equity (2425 / 78018)x100 3.10% 3752/50319 7.46% 2. Alternative Return on Assets (6985 /... 757 Words | 5 Pages
  • Calculation of Financial Ratios for Google The company that I have selected for Financial Ratio analysis is GOOGLE. The Ratios that I am going to analyze are grouped under four main headings: 1) Profitability Ratio 2) Liquidity Ratio 3) Debt Ratio 4) Market Ratio 1. Profitability Ratio - Profitability ratios measure the firm's use of its assets and control of its expenses to generate an acceptable rate of return. a. ROE - Return On Equity - Measures the rate of return on the ownership interest (shareholders' equity) of the common... 1,541 Words | 6 Pages
  • Financial Analysis and Ratio Analysis  Section III: Financial Analysis—Ratio Analysis Profitability Ratios When evaluating the company’s profitability, we pay attention to the following ratios which are commonly analyzed: Net Profit Margin, Accounts Receivables Turnover, Return on Assets and Return on Equity. From the tables and figures, all the ratios have increased over the past five years except for 2012. This means UPS is overall a healthy company and does a good job at generating profits. Net Profit Margin Ratio It... 1,727 Words | 6 Pages
  • Strategic Financial Ratio Analysis Strategic Financial Ratio Analysis | Meghna Cement Mills Bangladesh Limited & Heidelberg Cement Bangladesh Limited For the year of 2009,2010 & 2011 | Course Title : Fin 254 Section : 11 Submitted to : SFR Submission date: 09/04/2013 |... 2,235 Words | 8 Pages
  • Accounting: Financial Ratio Analysis Introduction Financial ratio analysis is a fundamental task of investors, accountants and corporate managers. Financial ratios fall into four main buckets: profitability ratios (which tell you how effectively a company utilizes its assets); liquidity ratios (which measure the financial health of the company); and leverage ratios (which tell you how much debt the company has relative to its total capital); turnover ratios or activity ratios ( which tell you how many times a company's inventory... 6,926 Words | 20 Pages
  • Financial Ratios Comparison - 1893 Words The companies’ financial ratios can be compared with the ratios of other equivalent companies between business sectors at one point of time. These comparisons provide explanations on the relative financial status and performance of the company compared to the relative performance of its competitors. Comparisons are usually made with other companies in the same business sector and the benchmark is assumed to be the suitable value for a company. The assumption here is for the companies in the same... 1,893 Words | 6 Pages
  • Financial Ratio Formulae - 253 Words Financial Ratio Formulae Liquidity Ratio 1. Current Ratio = Current Asset / Current Liabilities 2. Quick Ratio = (Current Asset – Inventory)/ Current Liabilities 3. Net working capital to sales ratio = Current Asset - Current Liabilities/ Sales Profitability Ratio 1. Gross Profit Margin = Gross Income / Sales 2. Operating Profit Margin = Operating income/ Sales 3. Net Profit Margin = Net Profit/ Sales Operating Ratio A... 253 Words | 2 Pages
  • Analysis: Financial Ratios and Proton PART A (I) In an organization, there must exist core business activities to function properly. Hence, the core business activities of Proton Holdings Berhad are engaged to automotive industry. It is no doubt that Proton Holdings Berhad is Malaysia’s leading automotive manufacturer (Home, n.d.). Proton Holdings Berhad had produced many car models which included Inspira, Exora, Saga FL, Persona and other models that received great responses from the market (Corporate, n.d.). For instance, Proton... 7,037 Words | 19 Pages
  • Nfl Financial Ratios - 627 Words National Foods Financial and Operating Highlights: | Unit | 2012 | 2011 | 2010 | 2009 | 2008 | Profitability Ratios | | | | | | | Gross Profit Ratio | % | 32.52 | 28.51 | 29.55 | 29.97 | 32.20 | Operating Profit to Sales | % | 12.66 | 8.83 | 5.76 | 8.18 | 9.48 | Net Profit to Sales | % | 8.14 | 4.18 | 1.93 | 3.71 | 5.11 | EBITDA Margin to Sales | % | 14.02 | 10.62 | 7.85 | 10.40 | 11.33 | Operating Leverage Ratio | % | 288.57 | 385.63 | (81.89) | 26.28 | 159.98 | Return... 627 Words | 2 Pages
  • Amazon: Financial Ratios and Inc. Financial Statement Analysis: Amazon, Incorporated Ashley B. Stark Dickinson State University October 18, 2012 Abstract The following document provides the trend, common-size, and horizontal analysis of Amazon, Incorporated, for the fiscal years ending 2007, 2008, 2009, 2010, and 2011. Amazon, Incorporated is a healthy company that has reached mature growth with stable returns. Overall, Amazon, Incorporated is a reasonable investment based on its historical and industry analysis and... 2,553 Words | 8 Pages
  • Financial Ratios and British Petroleum British Petroleum Ratio Analysis Memo Team B ACC/291 September 5, 2013 Vicki Garrison British Petroleum Analysis Memo Memo to Bob Fryar Executive Vice President, Safety and Operational Risk Dr Brian Gilvary Chief Financial Officer of British Petroleum: Introduction As we are sure you are already familiar with the British Petroleum organization, a lot of the information included in this memo may seem unnecessary directed only to you. It is vital to know information... 2,031 Words | 8 Pages
  • Financial Ratios and Net Income Class Discussion 1. Dartmouth Inc's latest net income was $1,250,000, and it had 225,000 shares outstanding. The company wants to pay out 45% of its income. What dividend per share should it declare? 2. Garcia Industries has sales of $200,000 and accounts receivable of $18,500, and it gives its customers 25 days to pay. The industry average DSO is 27 days, based on a 365-day year. If the company changes its credit and collection policy sufficiently to cause its DSO to fall to... 789 Words | 3 Pages
  • Financial Ratios and Popular Holdings Course Instructor Professor Goh Beng Wee Team Members Ng Si Yong Lo Yeow Fong Charissa Sim Yik Jia Qi Ong Shu Fang acct103-G4 Analysis of Popular Holdings Limited Financial Accounting Term Project (for OBHR 001 – Leadership and Teambuilding) Executive Summary Popular Holdings is a main board listed company in Singapore. It was incorporated in Singapore on 5 October 1996 as a private company under Popular Holdings Limited and the principal activity is that of an investment... 11,745 Words | 38 Pages
  • Financial Ratios and Gross Profit 1. What is the purpose of financial statement analysis? It show trends and relationships. These also help predict the future, show weaknesses, strengths. The ratios usually are compared to other companies within the industry and industry average to see where the company stands. Source: 2. If a company had sales of $2,587,643 in 1998 and sales of $3,213,456 in 2003, by what percentage did sales change during this time... 5,473 Words | 15 Pages
  • Key Financial Ratios. - 1813 Words |KEY FINANCIAL RATIOS | |Ratio analysis is the study of relationships among and between various financial statement accounts. The following are extracted from| |chapter 6, "Fundamentals of Investing" by Gitman and Joehnk, 1993. This extract should be viewed along side the attached computations| |for EMC Corporation, a company that BAB's has interest in and therefore should make the... 1,813 Words | 16 Pages
  • Ratio and Financial Statement Analysis RAOUL MUYENZI Financial Decision Making for Managers Spring 2011-2012 Ratio and Financial Statement Analysis Benefits and Limitations. Executive Summary This paper analyzes tools used in financial analysis such as ratios. Financial ratio analysis is a judicious way for different stakeholders to use for different goals. This paper demonstrates that financial ratio analysis is... 1,527 Words | 6 Pages
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  • Importance of Financial Ratios - 2244 Words Important Financial Ratios in Investment Analysis Introduction Financial ratios are derived ratio numbers from the financial statements of a company. Depending on the task, financial ratios can serve to various purposes in accounting, legal, M&A uses, etc. For investors, financial ratios are very powerful in two ways: indentifying the company’s unique competitiveness and evaluating its stock price level. The first part helps investor find a truly valuable company and the second part helps... 2,244 Words | 6 Pages
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