Using the Internet, corporate websites, Keiss Library, and/or any other resources at your disposal, do the...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Using the Internet, corporate websites, Keiss Library, and/or any other resources at your disposal, do the following: Find the ratios listed on the table below for the two publicly traded companies that were approved in Week 5. You must get data for the same time period for each company (i.e., 1Q16, fiscal 2015, 3016, or fiscal 2016) to make a fair comparison. You can get the ratios by looking them up or calculating them from the financial statements (which can be difficult) that are available online. Enter the ratios into a table similar to the one below. Industry standards are a measure of an overall industry, such as soft drinks, fast food, computers, etc. Finding industry standards may be trying, but the information can be found. Company B Financial Ratios Current Ratio Quick Ratio Accts Rec Turnover Ratio Inventory Turnover Ratio Turnover in Days Times-Interest-Earned Ratio Debt Ratio Debt-to-Equity ratio Return on Sales Return on Assets Return on Stockholders Equity Earnings Per Share Price-Earnings Ratio Dividend Yield Dividend Payout Ratio Company A Industry Standard Write 1,000 words or more comparing the 2 companies based on the ratios you compiled. In doing your comparison, you should consider whether the companies are both doing as well as the industry in general or worse than the industry that they operate in. In the final paragraph, state your opinion as to which company is the better one and why you believe it is better. Using the Internet, corporate websites, Keiss Library, and/or any other resources at your disposal, do the following: Find the ratios listed on the table below for the two publicly traded companies that were approved in Week 5. You must get data for the same time period for each company (i.e., 1Q16, fiscal 2015, 3016, or fiscal 2016) to make a fair comparison. You can get the ratios by looking them up or calculating them from the financial statements (which can be difficult) that are available online. Enter the ratios into a table similar to the one below. Industry standards are a measure of an overall industry, such as soft drinks, fast food, computers, etc. Finding industry standards may be trying, but the information can be found. Company B Financial Ratios Current Ratio Quick Ratio Accts Rec Turnover Ratio Inventory Turnover Ratio Turnover in Days Times-Interest-Earned Ratio Debt Ratio Debt-to-Equity ratio Return on Sales Return on Assets Return on Stockholders Equity Earnings Per Share Price-Earnings Ratio Dividend Yield Dividend Payout Ratio Company A Industry Standard Write 1,000 words or more comparing the 2 companies based on the ratios you compiled. In doing your comparison, you should consider whether the companies are both doing as well as the industry in general or worse than the industry that they operate in. In the final paragraph, state your opinion as to which company is the better one and why you believe it is better.
Expert Answer:
Answer rating: 100% (QA)
Instructions for Gathering Ratios Company Websites Visit the official websites of Company A and Company B Navigate to their investor relations section ... View the full answer
Related Book For
Fundamentals of Corporate Finance
ISBN: 978-1118845899
3rd edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
Posted Date:
Students also viewed these mathematics questions
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
The Crazy Eddie fraud may appear smaller and gentler than the massive billion-dollar frauds exposed in recent times, such as Bernie Madoffs Ponzi scheme, frauds in the subprime mortgage market, the...
-
As a new employee of Clayton Asset Management, you are assigned to evaluate the credit quality of BRT Corp. bonds. Clayton holds the bonds in its high-yield bond portfolio. The following information...
-
In Exercises 35 through 42, the slope f'(x) at each point (x, y) on a curve y = f(x) is given along with a particular point (a, b) on the curve. Use this information to find f(x). f'(x) = 3x 2 + 6x ...
-
What are some pro and cons of advertising in newspapers?
-
Figure includes a box for the econometrics unit. Item (3) is to help other units. What sorts of specific tasks might thisentail? Customers Product Final Risky Portfolio Feedback Overall Portfolio...
-
Find the Internet site of Zysman Forensic Accounting, Inc. Where is the company located?
-
The following data relate to notes receivable and interest for Viking Co., a cable manufacturer and supplier. (All notes are dated as of the day they are received.) June 3. Received a $24,000, 4%,...
-
Month Sales in Units April 3,500 May 3,805 4,570 4,125 3,988 June July August Croy's finished goods Inventory policy is to have 50 percent of the next month's sales on hand at the end of each month...
-
You are a security analyst responsible for following Jaguar's stock after it floats. (Assume the company had 100 million shares outstanding.) What is your estimate of Jaguar's stock price given a 10%...
-
Johansson Inc. is a manufacturing company that uses apredetermined overhead rate based on direct labor hours to applyoverhead to individual jobs. For the current year, the estimateddirect labor hou 1...
-
Public safety a problem needing perspective By Spencer van Vloten | Opinion | April 24th 2023 Public safety is an emotionally and politically charged issue, but how much cause for concern is there...
-
How the primary goal of stock pricemaximization may be incompatible and or conflicting with issues related to social responsibility of corporations?
-
1 10. Given x = t + and y = t - find the following: (ylleadhav to ylle nos oil bed a. For what values of t does the curve have a slope of 4? b. Find C. dy dx (14 44 Use the second derivative to...
-
11. Determine the exact length of the curve defined by x = et cos(t) and y = et sin(t) from 0t4 (14 pts)
-
A superannuation fund receives an amount of $430 at the end of each fortnight from one of its members. It invests this amount for the member in a cash fund that pays 6.2% p.a. compounded fortnightly....
-
A company took some prospective clients out to dinner inOntario. The subtotal of the meal was $2,692.31. What amount can beclaimed as an input tax credit on the company's next GST/HSTreturn? Please 2...
-
What services are provided by the provincial and territorial governments?
-
Give an example of a capital budgeting decision and a financing decision?
-
According to the trade-off theory: a. The amount of debt a company has is irrelevant. b. Debt should be used only as a last resort. c. Debt will not be used if a company's tax rate is high. d....
-
The First Bank of Flagstaff has issued perpetual preferred stock with a $100 par value. The bank pays a quarterly dividend of $1.65 on this stock. What is the current price of this preferred stock...
-
From the following selected balances of State plc as at 31 December 2008, prepare (j) a detailed trading and profit and loss account for the year ended 31 December 2008 for internal use and (ii) a...
-
The following information has been extracted from the books of account of Rufford plc for the year to 31 March 2006: Additional information: : 1. Administrative expenses include the following items:...
-
From the following balances in the books of Breaker plc you are to draw up (i) a detailed trading and profit and loss account for the year ending 31 March 2004 for internal use, and (ii) a profit and...
Study smarter with the SolutionInn App