Answered step by step
Verified Expert Solution
Question
1 Approved Answer
And calculate the following financial ratios: EPS Earning per share (Net income / no. of shares outstanding) P/E ratio price earning (share price /
And calculate the following financial ratios: EPS Earning per share (Net income / no. of shares outstanding) P/E ratio price earning (share price / EPS) Net profit margin (Net Profit / Revenue) Days in inventory (Inventory/ 365)/(COGS/365) Debt ratio (Total liabilities/Total assets) Return on total assets (Net income / total assets) Current ratio (Current assets CA / current liabilities CL) Quick ratio (CA - inventories / CL) Answer the following questions and justify your answers (10 lines maximum in total) Would you say the EPS has improved from a shareholder point if view? What about the P/E ratio ? Has the net profit margin improved? Has the company better managed its inventory turnover? Has the level of leverage increased in 2020? Has the company been more efficient in managing its assets and generating profits? Would you say the company has a healthy current ratio and why 1.21 28.93 23.35% 1.35 24.44 12.8040937 Days 25.01% 13.53401013 Days 0.83 0.83 0.01 0.01 1.84 1.84 1.48 1.48
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started