__________________________________________ I have calculated (not sure if it's correct): 2019 ROE 3.74% 2018 ROE -19.85%
Question:
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I have calculated (not sure if it's correct):
2019 ROE | 3.74% |
2018 ROE | -19.85% |
2019 RONA | 1.91% |
2019 NOPM | 7.74% |
2019 NOAT | 24.62% |
2018 RONA | -9.91% |
2018 NOPM | -39.04% |
2018 NOAT | 25.39% |
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1. Compare ROE and RNOA for the 2 years.
• Discuss how operating and nonoperating activities of your company contributed to each year’s shareholders’ overall return, ROE.
• How did current year’s Net Operating Profit Margin (NOPM) change from last year? Identify several items that can explain the change.
• How did current year’s Net Operating Asset Turnover (NOAT) change from last year? Identify several items that can explain the change.
2. Compute Altman Z-score of your company for the recent 2 years (see Ch. 4 slide # 21 for the Z-score formula). How did your company’s bankruptcy probability change according to your computed Z-scores? For Market Value of Equity for the 2 years, use the numbers presented in the cover page of the most recent 2 years’ 10-K reports.
Intermediate Accounting IFRS
ISBN: 978-1119372936
3rd edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield