Question
Calculate the undermention ratios for the year end 2020 and give your comments in comparison with industrial ratio: 16 Current Ratio Industrial Avg. Ratio Good/
Calculate the undermention ratios for the year end 2020 and give your comments in comparison with industrial ratio: 16
- Current Ratio
| Industrial Avg. Ratio | Good/ Bad | |
| 2.5 | Good |
- Inventory Turnover
| Industrial Avg. Ratio | Good/ Bad | |
| 20 | Bad |
- Fix Assets Turnover
| Industrial Avg. Ratio | Good/ Bad | |
| 2 | Bad |
- Debt Ratio
| Industrial Avg. Ratio | Good/ Bad | |
| 0.40 | Good |
- TIE
| Industrial Avg. Ratio | Good/ Bad | Logical Reason: |
| 6.5 |
- ROE
| Industrial Avg. Ratio | Good/ Bad | |
| 0.20 | Good |
- EPS
| Industrial Avg. Ratio | Good/ Bad | Logical Reason: |
| 2.50 |
Consider number of common stocks=1000000
- DPS
| Industrial Avg. Ratio | Good/ Bad | Logical Reason: |
| 1.50 |
Consider number of common stocks=1000000
| MY Associates | ||||||||
| Assets | 2020 | 2019 | Liabilities | 2020 | 2019 | |||
| Cash & Cash Eq. | 220494 | 28267 | Accounts Payables | 997650 | 789650 | |||
| Account Receivable | 1387500 | 1077500 | Short Term Loans | 275980 | 225090 | |||
| Inventories | 1203365 | 653365 | Current Portion of LTL | 99750 | 99750 | |||
| Short Term Deposits | 278000 | 189000 | Accruals | 87056 | 177056 | |||
| Prepayment | 899550 | 22420 | Notes Payables | 250000 | 450000 | |||
| Total Current Assets | 3988909 | 1970552 | Total Current Liabilities | 1710436 | 1741546 | |||
| Gross Fix Assets | 14029250 | 14029250 | Long Term Debt | 556326 | 456585 | |||
| Depreciation | 2401656 | 1523435 | Bonds | 200000 | 200000 | |||
| Net Fix Assets | 11627594 | 12505815 | Total Liabilities | 2466762 | 2398131 | |||
| Long Term Investments | 600000 | 500000 | Common Stock | 10000000 | 10000000 | |||
| Retain Earning | 2039305 | 836690 | ||||||
|
|
| Equity | 12039305 | 10836690 | ||||
| Total Assets | 16216503 | 14976367 | Liabilities & Equity | 16216503 | 14976367 | |||
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Finance for Non Financial Managers
Authors: Pierre Bergeron
7th edition
176530835, 978-0176530839
