Project Part One: General Mills

• For each of the following, identify 3 costs that could be incurred by your company.
  • Direct materials
  • Direct labor
  • Manufacturing overhead
  • Selling expenses
  • Administrative expenses

• Calculate the following ratios for the current year and the prior year. Was there an improvement or decline. You must include the data and formulas you used to calculate your ratios.

• Profitability
  • Gross Margin Percentage
  • Net Profit Margin Percentage
  • Return on Equity

• Solvency
  • Debt to Assets
  • Debt to Equity

• Liquidity
  • Working Capital
  • Current Ratio
  • Inventory Turnover
  • Accounts Receivable Turnover
  • Total Asset Turnover