Question: . Liquidity Current 1 . 5 0 x 1 . 0 6 x 1 . 4 8 x Quick 0 . 7 1 x 0

.Liquidity
Current
1.50x
1.06x
1.48x
Quick
0.71x
0.76x
0.78x
2. Efficiency
Average collection period
32 days
34 days
33 days
Inventory turnover
62 days
58 days
66 days
Days payable outstanding
33 days
34 days
33 days
Fixed asset turnover
8.95x
9.09x
8.85x
Total asset turnover
1.80x
1.77x
1.82x
3. Leverage
Debt ratio (liabilities)
60.47%
64.04%
60.17%
L/T Debt to Capital
35.09%
34.91%
36.33%
Times interest earned
13.02x
12.00x
11.23x
Fixed charge coverage
4.87x
4.15x
3.25x
4. Profitability
Gross profit margin
48.21%
48.39%
48.52%
Operating profit margin
12.05%
12.56%
12.52%
Net profit margin
5.73%
6.02%
6.41%
5. Returns
Return on equity
5.90%
5.51%
4.01%
Return on capital
4.84%
3.95%
3.05%
From the list of five general performance categories above, select what you consider to be the strongest category and the weakest category. Importantly, describe your rationale!
Strongest Category: . Weakest Category: .
Describe your Rationale here:

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