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acording to this ratios explain how the firm is financing its assets 800 W US WILT U industry average. (20 pts.) Financial ratios Calculations Industry
acording to this ratios explain how the firm is financing its assets
800 W US WILT U industry average. (20 pts.) Financial ratios Calculations Industry average Comments Operating profit margin 147000/550000=26% 25% good Net profit margin 61150/550000=11% 15% not to good Return on Equity 61150/258500=23% 20% very good Current ratio Acid-test ratio 239500/94000=2,5x 239500-47000/94000=2x 2.0x 1.8% good good Days in receivables_73000/(550000/365)=48 days 60 days Days in inventories 47000/(320000/365)=53 days 70 days Days in payables. 65000/(320000/365)=74 days 55 days better than average better than average better than average Operating return on assets. 147000/712500= 20% 20% good 55% 6x Debt ratio 389000/712500= 54% Times interest earned 61150/26000=2,3x Earnings per share 61150/10000= 6,15x Dividends per share 15000/10000=1,5 Price/earnings ratio 98/6,15= 15,9 n.a. good not good n.a n.a. better tha avaradge I n.a, 14 WWW Step by Step Solution
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