1. Provide a summary of how is Wedge doing compared to the industry in terms of Capitalization, Asset Utilization and Profitability for 2015? (Use industry ratios from exhibit 8) EXHIBITS WEDGE COMPUTERS, INC. Selected Financial Ratios Industry Average (2015) Current ratio Inventory turnover Total asset turnover LTD to Assets Profit margin Receivable Days Payable Days 1.43 9.50 9.75 2.00 0.15 40.00 25.00 Supplier Financial Analysis Worksheet Selected Financial Ratios 2015 Asset Utilization: Asset Turnover = Sales/Assets Inventory Turnover = Cost of Sales/Average Inventory Receivable Days = Accounts Receivable/Sales X 360 Payable Days - Accounts Payable/Sales X 360 Capitalization: Long-term Debt to Assets Debt/Assets Long-term Current Ratio - Current Assets/Current Liabilities Profitability Ratios: Profit Margin = Net Income/Sales 1. Provide a summary of how is Wedge doing compared to the industry in terms of Capitalization, Asset Utilization and Profitability for 2015? (Use industry ratios from exhibit 8) EXHIBITS WEDGE COMPUTERS, INC. Selected Financial Ratios Industry Average (2015) Current ratio Inventory turnover Total asset turnover LTD to Assets Profit margin Receivable Days Payable Days 1.43 9.50 9.75 2.00 0.15 40.00 25.00 Supplier Financial Analysis Worksheet Selected Financial Ratios 2015 Asset Utilization: Asset Turnover = Sales/Assets Inventory Turnover = Cost of Sales/Average Inventory Receivable Days = Accounts Receivable/Sales X 360 Payable Days - Accounts Payable/Sales X 360 Capitalization: Long-term Debt to Assets Debt/Assets Long-term Current Ratio - Current Assets/Current Liabilities Profitability Ratios: Profit Margin = Net Income/Sales