Compare the financial ratios of the following companies and comment: Current ratio Liquid ratio Gross profit margin
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Compare the financial ratios of the following companies and comment:
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Current ratio Liquid ratio Gross profit margin Operating profit margin Net profit margin Return on investment Fixed assets turnover ratio Debt: equity ratio Interest coverage ratio Inventory turnover ratio Ratios A 2.75 2.00 17% 9% 10% 14% 7 times 3.50 4 times 2.5 times B 2.65 1.90 20% 12% 11% 16% 5 times 3.00 5 times 4 times C 2.70 1.50 19% 16% 8% 12% 8 times 4.00 4 times 5 times
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analyze and compare the financial ratios of companies A B and C Current Ratio A 275 B 265 C 190 The current ratio measures shortterm liquidity A highe...View the full answer
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