Question: Interpret each ratio (1-12). For example, current assets are 2.96 times current liabilities OR For every $1 in current liabilities we have $2.96 in current
(1) Current ratio (2) Accounts receivable turnover 8.6 times 101.4 times (3) Average collection period 42.0 days 3.6 days (4) Inventory turnover 6.6 times 9.0 times (5) Days in inventory (6) Profitmargin 3.8%3.5 (7) Asset turnover 1.5 times 2.4 times (8) Return on assets 5.6%8.6% (9) Return on common stockholders' equity 17.1%21.0% (10) Debttoassets ratio 66% (11) Timesinterest earned 6.5 times 11.4 times (12) Freecash fiow $3,656$9,848
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