Question
I have the provide 2 risk factors with my decision to support Waste Connection. I am not sure how to analyze this data. Please help
I have the provide 2 risk factors with my decision to support Waste Connection. I am not sure how to analyze this data. Please help me provide 2 risk factors. Thank you. Here is the data:
Asset utilization
2020
Receivable turnover=5,445,990/630,264=8.641times
Average collection period=630,264/14,921=42 days
Accounts payable turnover=3,276,808/695,743=4.710times
Accounts payable average period=695,743/8,977=77days
Capital asset turnover=5,445,990/5,455,429=0.998times
Total asset turnover=5,445,990/13,992,364=.389 times
2019
Receivable turnover=5,338,679/662,808=8.130 times
Average collection period=609,808/14,763=45 days
Accounts payable turnover=3,198,757/707,836=4.519 times
Accounts payable average period=707,836/8,764=80 days
Capital asset turnover=5,388,679/5,699.567=.945 times
Total asset turnover=5,388,679/13,737,695=0.392 times
2018
Receivable turnover=4,922,941/609,545=8.076 times
Average collection period=609,545/13,487=45 days
Accounts payable turnover=2,865,704/636,875=4.500 times
Accounts payable average period=636,875/7,851=81 days
Capital asset turnover=4,922,941/5,168,996=0.952 times
Total asset turnover=4,922,941/12,627,329=0.390 times
2017
Receivable turnover=4,630,488-554,458=8.351 times
Average collection period=554,458/12,686=44 days
Accounts payable turnover=2,704,775/613,756=4.407 times
Accounts payable average period=613,756/7,410=82days
Capital asset turnover=4,630,488/4,820,934=0.960 times
Total asset turnover=4,630,488/12,014,681=0.385 times
Leverage
2020
Debt to total assets=7,128,926/13,992,364=0.509
Times interest earned(TIE)416,289/162,375=2.564
Fixed charges coverage=416,289/201,314=2.068
Debt/Equity=7,128,926/6,859,273=1.039
2019
Debt to total assets=6,799,341/13,737,695=0.495
Times interest earned(TIE)=853,259/147,368=5.790
Fixed charges coverage=853,259/177,762=4.800
Debt/Equity=6,699,341/6,933,504=0.981
2018
Debt to total assets= 6,167,141/12,627,329=0.488
Times interest earned(TIE)=839,244/132,104=6.353
Fixed charges coverage=839,244/152,408=5.507
Debt/Equity=6,167,141/6,454,608=0.955
2017
Debt to total assets=5,740,611/12,014,681=0.478
Times interest earned(TIE)=633,807/125,297=5.058
Fixed charges coverage=633,807/156,179=4.058
Debt/Equity=5,740,611/6,268
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