Question
a)Please calculate all the ratios of the companies - Profitability ratios(Profit margin, Return on assets , Return on equity) , Asset utilization ratios (Receivables turnover,
a)Please calculate all the ratios of the companies -
Profitability ratios(Profit margin, Return on assets , Return on equity) ,
Asset utilization ratios (Receivables turnover, Average collection period, Inventory turnover, Fixed asset turnover, Total asset turnover)
Liquidity ratios (Current ratio, Quick ratio) &
Debt utilization ratios (Debt total assets, Times interest earned, Fixed charge coverage).
b) Discuss each of the ratios for two years and explain their implications for the company. Analyze the ratios that you have calculated.
c) Use graphs, charts in your analysis.
Railroue Statistics [Canadian National Railway Data in million ($) 2017 2016 Net income > 5,484 3,640 Total sales / Revenues > 13,041 > 12037 Total assets > 37,629 37,05% stockholdery equity x 16,656 14,841 Accounts receivable 984 85 Aug daily credit sales > 36.225 > 33.436 424 > > 363 Inventory Fixed assets 35,439 34,950 Current assets > 2,190 - 2, 1oz Current liabilities 3,783 3,008 Total debt 10,828 10,937 Income before interest and taxes 5,558 5,312 Interest 481 480 Income before fixed Changes and taxes 5,089 > 4927 Fixed changes 964 276Step by Step Solution
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