Computershare limited

Return on assets =9.77% Profit margin =7.89% Working capital =800007 Current ratio = =2.141 Current cash debt coverage=0.3199 Debt to total assets ratio =66.40%

Cash debt coverage =0.1012

Webjet limited

Return on assets = 4.99%

Profit margin = 16.4% Working capital= -3720000 Current ratio= 0.94 Current cash debt coverage = 0.082 Debt to total assets ratio =58% Cash debt coverage = 0.06

Test

If you had $50,000 to invest and you could only invest it in one of your two companies, which would you choose? Justify by giving reasons for your decision. You should consider things like potential return on investment, and the overall financial performance and position of the company. You only need to base your decision on the above ratios. State any limitations to your analysis, that is, what else would you consider before you make such an investment?