& FM assingments 2020.pdf - Adobe Acrobat Reader DC X File Edit View Sign Window Help Home Tools FM assingments 20... x ? Sign In H cp 1 / 6 + 100% Assignment: Compute the following basic financial ratios by taking an annual report for the year 2019 of the assigned firm of Pakistan (see page 2 and 3). The reports can be found on Search 'Edit Text' https:/opendoors.pk/annual-reports-list/ Comment 1. PROFITABILITY RATIOS GROSS PROFIT MARGIN = Gross Profit / Sales Combine Files OPERATING PROFIT MARGIN= Earnings before interest and taxes / Sales NET PROFIT MARGIN = Net income / Sales [ Organize Pages RETURN ON ASSETS Net income / Total Assets RETURN ON EQUITY = Net income / common Equity Redact 2. LIQUIDITY RATIOS Current ratio = Current Assets / Current liabilities Protect Quick ratio = Current assets less inventory / Current liabilities 3. DEBT RATIOS Debt to Total Assets ratio =Total Debts / Total Assets Compress PDF Debt to equity ratio = Total Debts / Total Equity Times interest earned = Earnings before interest and taxes / Interest Expenses La Fill & Sign 4. ASSET ACTIVITY RATIOS Average collection period = Accounts receivable / Average daily credit sales La Send for Comme. Inventory turnover ratio = Sales / Inventory Total assets turnover ratio = Sales / Total assets More Tools 5. MARKET VALUE RATIOS Price Earnings ratio = Market price per share of common stock / Earnings per share Create, edit and sign PDF Market to book value ratio = Market price per share / Book value per share forms & agreements Use last two digit of your students number as Market price per share of common stock Start Free Trial The following steps might be useful for this assignment LO 9 6 7 7) ENG 12:42 PMUse last two digit of your Students number as Market price per share of common Stock The following steps might be useful for this assignment no m men: 1. Open-Wish the (https:-"'opendoors.pk.-"a_nnual-reports-list-l) IT. 2.. Find the annual Statement for the year 2,019 ofyour assigned company mbi'l'i' \"'95 Download the annual report for the year 2019' Write the formula and compute the ratio by identifying the relevant amount 'om the nancial statements given in the annual report of the company. Create, edit and sign PDF I For Example: Gross. prot Margin = Gross prot = 6.000.000 {as mentioned on page 3 of annual statement forms a agreements Sales 10,000.000 (give reference again e'g page no.) Start Free Trial :15ij ENE & FM assingments 2020.pdf - Adobe Acrobat Reader DC X File Edit View Sign Window Help Home Tools FM assingments 20... x ? Sign In H T 2 / 6 + 100% 2. Find the annual Statement for the year 2019 of your assigned company A 3. Download the annual report for the year 2019. Search 'Edit Text' 4. Write the formula and compute the ratio by identifying the relevant amount from the Comment financial statements given in the annual report of the company. Combine Files 0 Organize Pages Redact Protect Compress PDF La Fill & Sign For Example: Gross profit Margin = Gross profit = 6.000.000 (as mentioned on page 3 of annual statement) La Send for Comme. Sales 10,000,000 (give reference again e.g page no.) More Tools = 0.6 5. Your calculation must have reference i.e page no. of the annual statements Create, edit and sign PDF forms & agreements 6. Give one liner interpretation of each ratio Start Free Trial A 9 67 7) ENG 12:43 PM
