Question
Find the ratios listed on the table below for the Nissan and Toyota , two publicly traded companies that were approved in Week 5. You
Find the ratios listed on the table below for the Nissan and Toyota, two publicly traded companies that were approved in Week 5. You must get data for the same time period for each company (i.e., 1Q16, fiscal 2015, 3Q16, or fiscal 2016) to make a fair comparison. You can get the ratios by looking them up or calculating them from the financial statements (which can be difficult) that are available online.
Enter the ratios into a table similar to the one below. Industry standards are a measure of an overall industry, such as soft drinks, fast food, computers, etc. Finding industry standards may be trying, but the information can be found.
Financial Ratios | Company A NISSAN | Company B TOYOTA | Industry Standard |
Current Ratio |
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Quick Ratio |
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Accts Rec Turnover Ratio |
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Inventory Turnover Ratio |
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Turnover in Days |
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Times-Interest-Earned Ratio |
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Debt Ratio |
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Debt-to-Equity ratio |
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Return on Sales |
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Return on Assets |
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Return on Stockholders Equity |
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Earnings Per Share |
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Price-Earnings Ratio |
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Dividend Yield |
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Dividend Payout Ratio |
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Write 1,000 words or more comparing the 2 companies based on the ratios you compiled. In doing your comparison, you should consider whether the companies are both doing as well as the industry in general or worse than the industry that they operate in. In the final paragraph, state your opinion as to which company is the better one and why you believe it is better.
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