These 10 companies are among the largest and most well-known corporations listed on the New York...

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These 10 companies are among the largest and most well-known corporations listed on the New York Stock Exchange. They are leading companies in their respective industries, and their financial information reflects typical industry characteristics. Based on the financial data provided (see Exhibits 1, 2 and 3), identify the industry that each company (A to J) operates within, based on the following 10 industry descriptions: ● Restaurant chain. Operates and franchises a set of related restaurants in many different locations worldwide. Oil and gas. Operates internationally as an integrated corporation that explores, develops, and sells crude oil and natural gas, and produces and trades chemicals and oil products. Internet retail. Engages in retail e-commerce of end-user products and subscriptions internationally; purchases merchandise and content from third-party sellers for resale through online stores. Airline. Provides air transport services for travelling passengers and freight; offers services for partnerships and alliances with other airlines for codeshare agreements. Beverage-non-alcoholic. Produces, markets, and sells a variety of non-alcoholic beverages worldwide, including soft drinks, enhanced water, sports drinks, juice, dairy-based beverages, tea, coffee, and energy drinks. ● Bookstore chain. Operates retail bookstore chains; also sells and rents new and used print and digital textbooks. ● Pharmaceutical. Discovers, develops, mass-produces, markets, and sells biopharmaceutical products globally; serves wholesalers, retailers, hospitals, clinics, pharmacies, government, and agencies. Technology software. Develops, licenses, and supports software solutions worldwide; provides consulting services to assist clients in developing, deploying, and managing server and desktop solutions; trains and certifies information technology professionals. • Grocery store chain. Operates retail food and drug stores that offer a full line of groceries, meat, and produce as well as cosmetic and drug products. Bank. Provides comprehensive banking services, including investment banking, retail banking, commercial banking, financial transactions processing, and asset management. Company Total Revenue Cost of Goods Sold Gross Profit Operating Expenses Selling, General, and Administrative Research and Development Other Operating Expenses Operating Income Non-Operating Interest Expenses Other Expenses Earnings before Taxes Taxes Net Income A 100.00 36.63 63.37 12.07 12.07 51.30 6.40 0.50 44.40 1.04 43.36 EXHIBIT 2: COMMON-SIZE INCOME STATEMENT (%) B 100.00 42.30 57.70 3.14 2.96 0.17 0.01 54.56 0.05 0.00 54.51 27.17 27.34 C 100.00 73.35 26.65 21.46 8.58 12.81 0.07 5.19 0.27 0.07 4.85 0.85 4.00 D 100.00 77.91 22.09 8.01 4.24 3.77 14.08 0.64 0.25 13.19 3.04 10.15 E 100.00 39.23 60.77 32.51 32.48 0.03 28.26 1.03 1.71 25.52 4.83 20.69 F 100.00 74.06 25.94 24.07 20.83 3.24 1.87 0.48 3.23 -1.84 -0.64 -1.20 G 100.00 19.75 80.25 53.35 27.73 16.71 8.91 26.90 2.60 9.87 14.43 2.67 11.76 H 100.00 34.10 65.90 31.76 18.35 13.41 34.14 2.13 2.71 29.3 3.53 25.77 I 100.00 78.32 21.68 19.52 17.49 2.03 2.16 0.51 1.64 0.01 0.74 -0.73 J 100.00 18.88 81.12 37.76 41.13 - -3.36 43.36 0.00 4.83 38.53 7.02 31.51 Note: not separately disclosed Source: Financial information for each company (A to J) compiled by the case authors with information from Yahoo! Finance; for the purposes of this exercise, detailed reference information was omitted to avoid revealing the 10 company names. Company Liquidity Ratios Cash Ratio Acid Test Ratio Current Ratio Efficiency Ratios Accounts Receivable Days Inventory Turnover Days Sales in Inventory Asset Turnover Financial Leverage Ratios Debt to Total Assets Debt to Equity Profitability Ratios Gross Margin (%) Return on Sales A 0.12 0.71 0.90 23 20 18 1.45 2.00 -1.31 63 0.43 EXHIBIT 3: FINANCIAL RATIOS B 0.14 4.49 6.77 45 12 30 0.96 0.13 0.16 58 0.55 C 0.16 0.65 1.10 27 10 36 1.25 0.10 0.38 27 0.05 D 0.04 0.35 0.41 38 - - 0.73 0.17 0.73 22 0.13 E 0.08 0.39 0.76 39 4 84 0.43 0.50 2.03 61 0.26 F 0.01 0.26 1.45 16 3 113 2.15 0.14 0.30 26 -0.02 G 0.01 0.26 0.88 58 1 431 0.31 0.31 0.83 80 0.14 H 0.04 0.59 2.53 86 21 18 0.44 0.25 0.71 66 0.29 I 0.01 0.14 0.76 5 14 26 3.18 0.40 1.93 22 0.00 J 0.23 0.76 0.85 2,988 - 0.04 0.15 1.56 81 0.39 Note: not available or applicable Source: Financial information for each company (A to J) compiled by the case authors with information from Yahoo! Finance; for the purposes of this exercise, detailed reference information was omitted to avoid revealing the 10 company names. These 10 companies are among the largest and most well-known corporations listed on the New York Stock Exchange. They are leading companies in their respective industries, and their financial information reflects typical industry characteristics. Based on the financial data provided (see Exhibits 1, 2 and 3), identify the industry that each company (A to J) operates within, based on the following 10 industry descriptions: ● Restaurant chain. Operates and franchises a set of related restaurants in many different locations worldwide. Oil and gas. Operates internationally as an integrated corporation that explores, develops, and sells crude oil and natural gas, and produces and trades chemicals and oil products. Internet retail. Engages in retail e-commerce of end-user products and subscriptions internationally; purchases merchandise and content from third-party sellers for resale through online stores. Airline. Provides air transport services for travelling passengers and freight; offers services for partnerships and alliances with other airlines for codeshare agreements. Beverage-non-alcoholic. Produces, markets, and sells a variety of non-alcoholic beverages worldwide, including soft drinks, enhanced water, sports drinks, juice, dairy-based beverages, tea, coffee, and energy drinks. ● Bookstore chain. Operates retail bookstore chains; also sells and rents new and used print and digital textbooks. ● Pharmaceutical. Discovers, develops, mass-produces, markets, and sells biopharmaceutical products globally; serves wholesalers, retailers, hospitals, clinics, pharmacies, government, and agencies. Technology software. Develops, licenses, and supports software solutions worldwide; provides consulting services to assist clients in developing, deploying, and managing server and desktop solutions; trains and certifies information technology professionals. • Grocery store chain. Operates retail food and drug stores that offer a full line of groceries, meat, and produce as well as cosmetic and drug products. Bank. Provides comprehensive banking services, including investment banking, retail banking, commercial banking, financial transactions processing, and asset management. Company Total Revenue Cost of Goods Sold Gross Profit Operating Expenses Selling, General, and Administrative Research and Development Other Operating Expenses Operating Income Non-Operating Interest Expenses Other Expenses Earnings before Taxes Taxes Net Income A 100.00 36.63 63.37 12.07 12.07 51.30 6.40 0.50 44.40 1.04 43.36 EXHIBIT 2: COMMON-SIZE INCOME STATEMENT (%) B 100.00 42.30 57.70 3.14 2.96 0.17 0.01 54.56 0.05 0.00 54.51 27.17 27.34 C 100.00 73.35 26.65 21.46 8.58 12.81 0.07 5.19 0.27 0.07 4.85 0.85 4.00 D 100.00 77.91 22.09 8.01 4.24 3.77 14.08 0.64 0.25 13.19 3.04 10.15 E 100.00 39.23 60.77 32.51 32.48 0.03 28.26 1.03 1.71 25.52 4.83 20.69 F 100.00 74.06 25.94 24.07 20.83 3.24 1.87 0.48 3.23 -1.84 -0.64 -1.20 G 100.00 19.75 80.25 53.35 27.73 16.71 8.91 26.90 2.60 9.87 14.43 2.67 11.76 H 100.00 34.10 65.90 31.76 18.35 13.41 34.14 2.13 2.71 29.3 3.53 25.77 I 100.00 78.32 21.68 19.52 17.49 2.03 2.16 0.51 1.64 0.01 0.74 -0.73 J 100.00 18.88 81.12 37.76 41.13 - -3.36 43.36 0.00 4.83 38.53 7.02 31.51 Note: not separately disclosed Source: Financial information for each company (A to J) compiled by the case authors with information from Yahoo! Finance; for the purposes of this exercise, detailed reference information was omitted to avoid revealing the 10 company names. Company Liquidity Ratios Cash Ratio Acid Test Ratio Current Ratio Efficiency Ratios Accounts Receivable Days Inventory Turnover Days Sales in Inventory Asset Turnover Financial Leverage Ratios Debt to Total Assets Debt to Equity Profitability Ratios Gross Margin (%) Return on Sales A 0.12 0.71 0.90 23 20 18 1.45 2.00 -1.31 63 0.43 EXHIBIT 3: FINANCIAL RATIOS B 0.14 4.49 6.77 45 12 30 0.96 0.13 0.16 58 0.55 C 0.16 0.65 1.10 27 10 36 1.25 0.10 0.38 27 0.05 D 0.04 0.35 0.41 38 - - 0.73 0.17 0.73 22 0.13 E 0.08 0.39 0.76 39 4 84 0.43 0.50 2.03 61 0.26 F 0.01 0.26 1.45 16 3 113 2.15 0.14 0.30 26 -0.02 G 0.01 0.26 0.88 58 1 431 0.31 0.31 0.83 80 0.14 H 0.04 0.59 2.53 86 21 18 0.44 0.25 0.71 66 0.29 I 0.01 0.14 0.76 5 14 26 3.18 0.40 1.93 22 0.00 J 0.23 0.76 0.85 2,988 - 0.04 0.15 1.56 81 0.39 Note: not available or applicable Source: Financial information for each company (A to J) compiled by the case authors with information from Yahoo! Finance; for the purposes of this exercise, detailed reference information was omitted to avoid revealing the 10 company names.

Answer rating: 100% (QA)

Here are the identified industries for companies A to J based on the financial data provided A Groce... View the full answer