-If we divide users of ratios into short-term lenders, long-term lenders, stockholders and regulators, which ratios would each group be most interested in, and for what reasons?

Find McDonald's most recent 10-K. Use it to answer the questions below.

Is the accounts receivable turnover ratio increasing or decreasing? What does that tell us about the average collection period?

Calculate MCD's fixed-charge coverage ratio and times interest earned ratio.

What advantage does the fixed charge coverage ratio offer over simply using times interest earned? Is there any validity in rule-of-thumb ratios for all corporations, such as a current ratio of 2 to 1 or debt to assets of 50 percent? Why would you expect MCD's ratios to be different from JNJ from last week? Inflation can have significant effects on income statements and balance sheets, and therefore on the calculation of ratios. Calculate each of the following ratios, discuss the possible impact of inflation on each, and explain the direction of the impact based on your assumptions. Return on investment Inventory turnover Fixed asset turnover Debt-to-assets ratio What effect will disinflation following a highly inflationary period have on the reported income of the firm? Why might disinflation prove favorable to financial assets? Use Excel