Question
Analyzing Segment Disclosures Raytheon Company disclosed the following data related to segment sales and operating profits for fiscal 2018. Total Net Sales Operating Income $
Analyzing Segment Disclosures Raytheon Company disclosed the following data related to segment sales and operating profits for fiscal 2018.
Total Net Sales | Operating Income | |||||
---|---|---|---|---|---|---|
$ millions | 2018 | 2017 | 2016 | 2018 | 2017 | 2016 |
Integrated defense systems | $5,562 | $5,224 | $4,976 | $921 | $842 | $874 |
Intelligence, information and services | 6,722 | 5,559 | 5,552 | 484 | 410 | 420 |
Missile systems | 8,298 | 7,008 | 6,386 | 973 | 1,010 | 921 |
Space and airborne systems | 6,073 | 5,787 | 5,564 | 796 | 776 | 727 |
Forcepoint | 571 | 547 | 527 | 5 | 30 | 81 |
Eliminations | (1,363) | (1,281) | (1,225) | |||
Total net sales | $25,863 | $22,844 | $21,780 |
The company also reported the following on its balance sheet.
$ millions | 2018 | 2017 |
---|---|---|
Receivables* | $1,483 | $1,192 |
* (net of allowance for doubtful accounts of $12 and $8)
Required a. Which segment is largest in 2018? b. Calculate the operating profit margin for each segment and determine which segment is most profitable in 2018 by this measure. Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%).
Operating | |
---|---|
Profit Margin | |
Integrated Defense Systems | Answer
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Intelligence, Information and Services | Answer
|
Missile Systems | Answer
|
Space and Airborne Systems | Answer
|
Forcepoint | Answer
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c. Which segments sales grew the most in 2018? How does this compare to 2017 sales growth? Note: Round percentage to one decimal place (for example, enter 6.7% for 6.6555%).
2018 Growth % | 2017 Growth % | ||
---|---|---|---|
Segment with the most growth in 2018: | Answer
| Answer
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d. Calculate the companys accounts receivable turnover and its days sales outstanding (DSO) for 2018. Note: Round amount (your final answer) to one decimal place (for example, enter 6.8 for 6.77555).
AR turnover | Answer
|
DSO | Answer
|
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