Global Healthcare Products has the following ratios compared to its industry for 2015. Explain, with supporting calculations,
Question:
Explain, with supporting calculations, why the return-on-assets ratio is so much more favourable than the return-on-sales ratio, compared to the industry.
Transcribed Image Text:
Global Healthcare Industry 10% Return on sales. Return on assets. 2% 18% 12%
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 70% (10 reviews)
Global Heath ...View the full answer
Answered By
Somshukla Chakraborty
I have a teaching experience of more than 4 years by now in diverse subjects like History,Geography,Political Science,Sociology,Business Enterprise,Economics,Environmental Management etc.I teach students from classes 9-12 and undergraduate students.I boards I handle are IB,IGCSE, state boards,ICSE, CBSE.I am passionate about teaching.Full satisfaction of the students is my main goal.
I have completed my graduation and master's in history from Jadavpur University Kolkata,India in 2012 and I have completed my B.Ed from the same University in 2013. I have taught in a reputed school of Kolkata (subjects-History,Geography,Civics,Political Science) from 2014-2016.I worked as a guest lecturer of history in a college of Kolkata for 2 years teaching students of 1st ,2nd and 3rd year. I taught Ancient and Modern Indian history there.I have taught in another school in Mohali,Punjab teaching students from classes 9-12.Presently I am working as an online tutor with concept tutors,Bangalore,India(Carve Niche Pvt.Ltd.) for the last 1year and also have been appointed as an online history tutor by Course Hero(California,U.S) and Vidyalai.com(Chennai,India).
4.00+
2+ Reviews
10+ Question Solved
Related Book For
Foundations of Financial Management
ISBN: 978-1259024979
10th Canadian edition
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
Question Posted:
Students also viewed these Business questions
-
Acme Transportation Company has the following ratios compared to its industry for 2015. Explain, with supporting calculations, why the return-on-equity ratio is so much less favourable than the...
-
AllState Trucking Co. has the following ratios compared to its industry for 2013. Explain why the return-on-assets ratio is so much more favorable than the return-on-sales ratio compared to the...
-
Front Beam Lighting Company has the following ratios compared to its industry for 2013. Explain why the return-on-equity ratio is so much less favorable than the return-on-assets ratio compared to...
-
Under what circumstance is it most appropriate to travel in reverse with a load? A. When you are carrying a non-standard load B. When a tall load obstructs your forward vision C. When the load is...
-
A brass (non-magnet k) block A and a steel magnet B are in equilibrium in a brass tube under the magnetic repelling force of another steel magnet C located at a distance x = 0.004 m from B. The force...
-
Linke Motors has a beta od 1.30 and an expected dividend growth rate of 4.50% per year. The T-bond rate is 6.5% and investors expect the annual future stock market return to be 10.00%. Based on SML,...
-
J&J Cattle has purchased a quarter section of land for \($160\),000. They make a down payment of \($20\),000, and the remainder of the purchase price (\($140\),000) is financed at 12 percent...
-
Galant Theater Production Company unadjusted and adjusted trial balances at December 31, 2012, follow. Requirement 1. Journalize the adjusting entries that account for the differences between the two...
-
Icebreaker Company (a U.S.-based company) purchases materials from a foreign supplier on December 1, 2020, with payment of 17,000 dinars to be made on March 1, 2021. The materials are consumed...
-
Cindy Jos Hair Salon is concerned about their rising costs of supplies, energy and labor, so they are considering investing in better equipment, which hopefully will reduce the time required to...
-
Sharpe Razor Company has total assets of $2,500,000 and current assets of $1,000,000. It turns over its capital assets five times a year and has $700,000 of total debt. Its return on sales is 3...
-
Using the DuPont method, evaluate the effects of the following relationships for the Lollar Corporation. a. Lollar Corporation has a profit margin of 5 percent and its ROA (investment) is 13.5...
-
In 2016, a columnist for the Wall Street Journal wrote: For years, the world has looked to central banks to deploy whatever tools they had to prop up economic growth. Now, just as those tools reach...
-
Discuss the challenge to sustainability posed by the tragedy of the commons.
-
Revenue management uses the marketing mix to increase revenue. the supply chain mix to decrease expenses. static pricing to increase revenue. differential pricing to increase revenue.
-
Which contract increases the margin for the dealer as sales cross certain levels? Buyback or returns contract Revenue-sharing contract Threshold contract Quantity flexibility contract
-
Much of the actual cost of recycling or remanufacturing is directly linked to the repair. the logistics. the production. the design.
-
Understand factors that affect the decision to outsource a supply chain function.
-
Why is an overhead application rate used?
-
Three forces with magnitudes of 70pounds, 40 pounds, and 60 pounds act on an object at angles of 30, 45, and 135, respectively, with the positive x-axis. Find the direction and magnitude of the...
-
The warrants of Integra Life Sciences allow the holder to buy a share of stock at $11.75 and are selling for $2.85. The stock price is currently $8.50. To what price must the stock go for the warrant...
-
The warrants of Dragon Pet Co. allow the holder to buy a share of stock at $26.20 and are selling for $14.10. The stock price is currently $23.50. To what price must the stock go for the warrant...
-
Plunkett Gym Equipment Inc. has a $1,000 par value convertible bond outstanding that can be converted into 25 shares of common stock . The common stock is currently selling for $34.75 a share, and...
-
Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next 10 years because the firm needs to plow back its earnings to fuel growth. The company will...
-
3. The ABX Company is interested in conducting a study to identify factors that affect absenteeism among its production employees. After reviewing the literatures on absenteeism and interviewing...
-
Now assume the AT&T post merger equity beta is 0.75. The marginal tax rate is to drop from 35% to 22%, the effective tax rate from 20% to 13%. What is the tax shield? Risk-free rate: 2.31%; MRP 5.00%...
Study smarter with the SolutionInn App