Question
Data Analysis. 8 pts. - Compute the ratios of long-term debt-to-book equity and long-term debt-to-market value equity in the Excel file. The ratios need to
Data Analysis. 8 pts.
- Compute the ratios of long-term debt-to-book equity and long-term debt-to-market value equity in the Excel file. The ratios need to be traced to the data you collected in question 2). Recall to convert the data to a common unit (e.g., billions or millions) before computing the ratios. Use two decimals for the ratios. 3 pts
- Plot the trends for each of the six companies over the years, both for book leverage and market leverage. Make sure that on the x-axis, years are increasing to the right. The y-axis should reflect the ratios. The two figures should present six lines each (one per company). 5 pts
Long-term debt (million) | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 |
F | $ 93,301 | $ 102,666 | $ 100,720 | $ 101,361 | $ 110,341 | $ 88,400 |
GM | $ 51,326 | $ 67,254 | $ 73,060 | $ 65,924 | $ 72,981 | $ 75,659 |
GOOGL | $ 3,935 | $ 3,969 | $ 4,012 | $ 4,554 | $ 13,932 | $ 14,817 |
TWTR | $ 1,606 | $ 1,706 | $ 1,755 | $ 2,509 | $ 2,569 | $ 4,523 |
TGT | $ 11,945 | $ 11,031 | $ 11,117 | $ 10,223 | $ 11,338 | $ 11,536 |
COST | $ 4,061 | $ 6,573 | $ 6,487 | $ 5,124 | $ 7,514 | $ 6,692 |
Total common equity (million) | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 |
F | $ 29,187 | $ 35,606 | $ 35,966 | $ 33,230 | $ 30,811 | $ 48,622 |
GM | $ 44,075 | $ 36,200 | $ 42,777 | $ 45,957 | $ 49,677 | $ 65,815 |
GOOGL | $ 139,036 | $ 152,502 | $ 177,628 | $ 201,442 | $ 222,544 | $ 251,635 |
TWTR | $ 4,605 | $ 5,047 | $ 6,806 | $ 8,704 | $ 7,070 | $ 7,307 |
TGT | $ 12,957 | $ 10,953 | $ 11,651 | $ 11,297 | $ 11,833 | $ 14,440 |
COST | $ 12,332 | $ 11,079 | $ 13,103 | $ 15,584 | $ 18,705 | $ 18,078 |
Total market cap (billion) | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 |
F | $ 48.20 | $ 49.61 | $ 31.14 | $ 37.96 | $ 34.97 | $ 83.00 |
GM | $ 53.10 | $ 58.22 | $ 46.83 | $ 51.24 | $ 59.59 | $ 85.12 |
GOOGL | $ 539.06 | $ 729.45 | $ 723.45 | $ 921.13 | $ 1.19 | $ 1.92 |
TWTR | $ 11.65 | $ 17.83 | $ 21.96 | $ 24.98 | $ 43.06 | $ 34.55 |
TGT | $ 40.57 | $ 35.46 | $ 34.48 | $ 64.96 | $ 88.40 | $ 110.88 |
COST | $ 70.32 | $ 81.72 | $ 89.73 | $ 129.84 | $ 166.89 | $ 251.73 |
Book value | ||||||
Long-term debt/total common equity | ||||||
2016 | 2017 | 2018 | 2019 | 2020 | 2021 | |
F | ||||||
GM | ||||||
GOOGL | ||||||
TWTR | ||||||
TGT | ||||||
COST | ||||||
Market value | ||||||
Long-term debt/total common equity | ||||||
2016 | 2017 | 2018 | 2019 | 2020 | 2021 | |
F | ||||||
GM | ||||||
GOOGL | ||||||
COST | ||||||
TGT | ||||||
COST |
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