Point out strengths and weaknesses of the business and the industry.

Industry

Current ratio 2.0 times

Quick ratio 1.2 times

Inventory turnover ratio 3.60 times

Average collection period 32.50 days

Fixed asset turnover ratio 1.25 times

Sales to working capital 4.25 times

Total asset turnover ratio 0.85 times

Capital intensity ratio 1.18 times

Debt ratio 62.50%

Debt-to-equity ratio 1.67 times

Equity multiplier 2.67 times

Times interest earned 8.50 times

Profit margin 28.75%

ROA 19.75%

ROE 36.88%

Dividend payout ratio 35%

Market-to-book ratio 2.55 times

PE ratio 15.60 times

Business 2014 and 2015

Current ratio 1.89 1.86

quick ratio 0.91 0.90

inventory turnover 1.1 1.3

average collected period 92.8 81.4

acc. recievable turnover 3.93 4.48

sales to working capital 2.5 5.72

Total asset turnover 2.04 2.21

Capital intensity 1.82 1.77

Debt ratio 0.36 0.33

Debt to equity 0.897 0.75

equity multiplyer 2.52 2.28

times interest earned 3.31 3.51

profit margin 0.28 0.27

return on assets 0.16 0.15

return on equity 0.39 0.35

divdend payout 0.53 0.47

market to book share 0.34 0.38