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hi please calculate the P/ E ratio from it i know it is 1.89 but can you elaborate it in every step . such as
hi please calculate the P/ E ratio from it i know it is 1.89 but can you elaborate it in every step . such as how to find market price per share. secondly can you please calculate ratios to compare with industry average which i need to write under actual section of fifth picture and can u tell me it is worse or good compared to industry average i need to write it under comments- worse or good section of the fifth picture that i have posted please help me????
sorry in fouth picture
AadcoAutomotive Inc. Consolidated Statements of Income For the years ending Dec. 28, 2017 and Dec. 29, 2016 (Cdn dollar amounts shown in Millions) 2017 2016 Sales 800.0 100.0% 600.0 100.0% Cost of Sales 600.0 75.0% 400.0 66.7% Gross Margin 200.0 25.0% 200.0 33.3% Expenses Selling, General & Administration 99.4 88.7 Dismantling Labour Dismantling Overhead Earnings from Operations Interest Expense (5 % of LTD) 14.6 13.1 8.0 7.8 9.8% 78.0 90.4 15.1% 5.0 2.5 9.1 % 14.7 % Earnings Before Income Taxes 73.0 87.9 20.0 Income Tax Expense 27.0 Net Earnings 11.3% 53.0 6.6% 67.9 Aadco Automotive Inc. Consolidated Blance Sheet December 28, 2017 and December 29, 2016 (Cdn Dollar amounts in Millions) 2017 2016 Assets Current Assets Cash and Cash Equivalents 62.5 100.0 Accounts Receivable 143.8 98.4 2/5 Income Tax Receivable 2.9 3.6 Inventory 150.6 160.0 4.3 Prepaid Expenses 3.0 Total Current Assets 364.1 365.0 Property Plant & Equipment 350.0 300.0 Other assets,intangibles, goodwill 22.3 20.0 Total Assets 736.4 685.0 Purpak Ltd. Consolidated Balance Sheet December 28, 2017 and December 29, 2016 (Cdn Dollar amounts in millions) 2017 2016 Liabilities and Shareholder Equity Liabilities Current Liabilities 61.4 60.0 Long Term Debt (5.0 % int per annum) 100.0 50.0 110.0 Total Liabilities 161.4 Shareholder Equity Common Shares 20.0 20.0 555.0 Retained Earnings 555.0 Total Shareholder Equity 575.0 575.0 Total Liabilities and Shareholder Equity 736.4 685.0 Other Financial Information Number of Common Shares Outstanding 10 Million 10 Million Number of preferred shares Outstanding 0 0 3 5 Pures College Financial Accounting I Assignment #1 Part A-Ratio Analysis (15 marks) Calculate the financial ratios based on the financial information provided (both years) Part B- Benchmark Analysis (15 marks) Compare the actual company ratios to the benchmarks/industry average provided. (most recent year only) Industry Average Comments-Better/Worse Benchmark Actual Current 2 to1 Acid 1.5 to1 Return on Assets 7% 10% Return on Equity Debt to Equity 2 to1 Interest Coverage 2X Earnings per share 20 cents Price Earnings (price-$10) 5 X Inventory Turnover 2.45X Receivables Turnover 4.3X Return on Sales 10% Debt Ratio 2 to 1 Days Sales 25 $3M Working Capital Part C- Write a Business Report using the format provided and Attach Part A and Part B as appendices. Your business report slStep by Step Solution
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