The following represents the calculated ratios of ABC Corporation for the year 2014 compared with the...
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The following represents the calculated ratios of ABC Corporation for the year 2014 compared with the Industry Average. Ratio name Current ratio Acid-test Payables turnover In days Total assets turnover Debt ratio Gross profit margin Net profit margin ABC 2014 1.3 0.72 41 1.75 0.42 0.25 0.09 Required: analyze ABC's financial performance. Industry average 1.65 0.87 42 2.6 0.26 0.36 0.14 The following represents the calculated ratios of ABC Corporation for the year 2014 compared with the Industry Average. Ratio name Current ratio Acid-test Payables turnover In days Total assets turnover Debt ratio Gross profit margin Net profit margin ABC 2014 1.3 0.72 41 1.75 0.42 0.25 0.09 Required: analyze ABC's financial performance. Industry average 1.65 0.87 42 2.6 0.26 0.36 0.14
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ANS WER ABC Corporation s financial performance is mixed when compared to the industry average The c... View the full answer
Related Book For
Foundations of Financial Management
ISBN: 978-1259024979
10th Canadian edition
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
Posted Date:
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