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PLEASE ANSWE ASAP GUse this information for New Tech Company to answer the following question. Income Statement 2013 2014 2015 20 S 100 110 120
PLEASE ANSWE ASAP
GUse this information for New Tech Company to answer the following question. Income Statement 2013 2014 2015 20 S 100 110 120 Cost of goods sold 50 51 52 Depreciation 20 20 General, sales & admin expenses 70 65 60 Taxes 10 10 10 Net Income -50 -36 -22 Balance Sheet 2013 2014 2015 Current Assets 40 45 40 Property, plant & equipment 60 55 60 Total Assets 100 100 100 Current Liabilities 40 40 35 Long-Term Liabilities 10 10 15 Equity 50 50 50 Total Liabilities & Equity 100 100 100 INDUSTRY AVERAGE RATIOS 2013 2014 2015 CR (Current Ratio) 1.5 1.5 1 DR (Debt Ratio) = TL/TA 60% 60% 60% TAT (Total Asset Turnover) 2 2.2 2.5 PM (Profit Margin) 4% 5% 6% Sales Growth 3% 2.50% 3% Profit Growth 5% 25% 20% Which of the following items characterize New Tech Company? (It may be more than one option). EXPLAIN (and report your calculations) 1. Low debt & unprofitable 2. High debt & unprofitable 3. Decreasing profit margin 4. Increasing sales with a decreasing sales growth rate 5. All the above characterize New Tech Company Step by Step Solution
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