Please use ratios to answer the following questions:
A. Which of the above hotel units makes the best use of its assets?
B. Which of the above hotel units controls its costs better?
C. Which of the above hotel units has the greatest risk?
D. Which of the above hotel units has the highest return on equity.

                                 

                                   HOTEL A             HOTEL B                 HOTEL C

Sales                         6.500.000           4.500.000                4.400.000

Profit after tax         142988                   90000                    110000

Assets                         2.556.099          1.610.000               1.967.800

Equity                         548.276               900.000                  800.000

Answer rating: 100% (QA)

To answer the questions using ratios we can calculate the following ratios for each hotel unit A Ret... View the full answer