Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Based on this information, please give a 3 paragraph comprehensive analysis of at least 2 activity ratios, 1 leverage ratio, and 1 profitability ratio and

Based on this information, please give a 3 paragraph comprehensive analysis of at least 2 activity ratios, 1 leverage ratio, and 1 profitability ratio and discuss.

image text in transcribed

Paragraph Font Case 5.2 (a) Show Formulas Applied Materials (AMAT /NASDAQ Summary of Financial Statement Ratios Oct 27, 2013 Results for the Years Ending Oct 28, 2012 Oct 30, 2011 Liquidity Ratios Current ratio Quick ratio Cash flow liquidity Average collection period Days inventory held Days payable outstanding Cash conversion cycle 2.31 times 1.73 times 1.03 times 80.00 days 115.00 days 48.00 days 147 days 2.25 times 1.69 times 1.67 times 52.00 days 86.00 days 27.00 days 111 days Activity Ratios Accounts receivable turnover Inventory turnover Payables turnover Fixed asset turnover Total asset turnover 4.60 times 3.20 times 7.76 times 8.83 times 0.62 times 7.15 times 4.25 times 13.65 times 9.58 times 0.72 times Leverage Ratios: Debt ratio Long-term debt to total capitalization Debt to equity Financial leverage (FL) Times interest earned Cash interest coverage Fixed charge coverage Cash flow adequacy 41.14 % 21.54 % 0.70 times 1.70 times 4.55 times 8.88 times 57. times 40.22% 21.20 % 0.67 times 1.67 times 4.33 times 21.53 times 338 times 40.64 times 218.43 times 23.71 times 4.55 times times 3.71 times Oi Profitability Ratios: Gross profit margin Operating profit margin Net profit margin Cash flow margin Return on assets (ROA) or Return on investment (ROI) Return on equity (ROE) Cash return on assets 38.00% 4.71% 1.25 % 21.23 % 0.90 % 1.51 % 15.29 % 41.46 % 22.80 % 18.31 % 26.20 % 5 Market Ratios Earnings per share Price-to-earnings Dividend payout Dividend yield 0.21 34 33 185.71 % 2.20 % 0.09 118.33 388.89% 3.29% 1.46 864 21.23% 2.46 % NOTES: If a raid's numerator and/or denominator equals zero, no is displayed "NM indicates a calculated ratio is not meaningful for malysis DUFO lere to search o

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Internal Auditing Assurance And Advisory Services

Authors: Kurt R. Reding, Paul J. Sobel, Urton L. Anderson, Michael J. Head, Sridhar Ramamoorti, Mark Salamasick, Cris Riddle

5th Edition

1634541367, 978-1634541367

More Books

Students also viewed these Accounting questions

Question

1-7 Explain why marketing is important to our global economy.

Answered: 1 week ago