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For Lululemon (LULU) 5. Based on the information contained in the financial statements for the most recent two years, compute the following ratios for your
For Lululemon (LULU)
5. Based on the information contained in the financial statements for the most recent two years, compute the following ratios for your company for the past 2 years? Compute each year separately, showing the calculations for each ratio. The formulas for the ratios are available in your textbook. (For g,k, and q, write a 2-4 sentence conclusion for each group of ratios (af,hj,lp) where indicated, indicating whether the ratios are improving, stable, or getting worse) a. Current ratio. b. Current cash debt coverage ratio c. Receivables turnover ratio and d. Average collection period e. Inventory turnover ratio and f. Days in inventory g. What conclusions concerning the company's liquidity can be drawn from these ratios? h. Debt to total assets. i. Cash debt coverage ratio. j. Free cash flow. k. What conclusions concerning the company's solvency can be drawn from these ratios? 1. Return on assets ratio. m. Profit margin ratio. n. Asset turnover ratio. o. Gross profit rate. p. Earnings per share. 9. What conclusions concerning the company's profitability can be draw? 6. Would you recommend this company for investment purposes? Why or why not (give clear and concrete reasons, your opinion should be supported with 58 substantial facts) 5. Based on the information contained in the financial statements for the most recent two years, compute the following ratios for your company for the past 2 years? Compute each year separately, showing the calculations for each ratio. The formulas for the ratios are available in your textbook. (For g,k, and q, write a 2-4 sentence conclusion for each group of ratios (af,hj,lp) where indicated, indicating whether the ratios are improving, stable, or getting worse) a. Current ratio. b. Current cash debt coverage ratio c. Receivables turnover ratio and d. Average collection period e. Inventory turnover ratio and f. Days in inventory g. What conclusions concerning the company's liquidity can be drawn from these ratios? h. Debt to total assets. i. Cash debt coverage ratio. j. Free cash flow. k. What conclusions concerning the company's solvency can be drawn from these ratios? 1. Return on assets ratio. m. Profit margin ratio. n. Asset turnover ratio. o. Gross profit rate. p. Earnings per share. 9. What conclusions concerning the company's profitability can be draw? 6. Would you recommend this company for investment purposes? Why or why not (give clear and concrete reasons, your opinion should be supported with 58 substantial facts) Step by Step Solution
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