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Please help!! I have parts of #1 but am having a hard time with the rest. Three photos attached, #1 and #2 are the problem
Please help!! I have parts of #1 but am having a hard time with the rest. Three photos attached, #1 and #2 are the problem with the balance sheets for both companies. #3 is the excel sheet I have been working on and what work I have so far.
1. Compute the following ratios for both companies for the current year, and decide which company's stock better fits your investment strategy.
- a. Quick Ratio
- b. Inventory turnover
- c. Days' sales in average receivables
- d. Debt ratio
- e. Earnings per share of common stock
- f. Price/Earnings ratio
Which company's stock better its your investment strategy?
2. Compute the EVA for each company, assuming a 10% cost of capital. Does the EVA confirm the opinion you formed as a result of the ratio analysis?
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