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Fill in the blanks and give reasons: (10 points) Company A Company B ROE 2% 8% Profit Margin % 7% 4% TAT 1.7 3.0 ROA

  1. Fill in the blanks and give reasons: (10 points)

Company A Company B
ROE 2% 8%
Profit Margin % 7% 4%
TAT 1.7 3.0
ROA 11% 8.7%
Generic Strategy?

Fill in the generic strategy row above

How different are the two firms financials? Explain each ratio.

How are they related to their strategies?

How would you interpret a current ratio of 1.2 What information you would need to extra to interpret it?

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