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Question 20 (10 points) Using the financial performance ratios of the table below (only the financial performance ratios), explain what happened to the financial situation
Question 20 (10 points) Using the financial performance ratios of the table below (only the financial performance ratios), explain what happened to the financial situation of the "Accomodation services sector" in the period 2015-2019 (all the period). Explain and justify your answer. Geography Canada North American Industry Classification System (NAICS) Accommodation services Financial and taxation components 6 2015 2016 2017 2018 2019 Dollars Total assets (x 1,000,000) 37,766 37,611 39,891 43,334 44,107 Equity (x 1,000,000) 9,161 8,824 10,103 11,047 12,045 Operating revenue (x 1,000,000) 14,822 15,080 15,561 16,388 17,071 Operating profit/loss (x 1,000,000) 1,421 1,649 2,019 2,043 2,023 Net profit (x 1,000,000) 1,081 1,203 1,551 1,521 1,716 Taxable income, tax base (x 1,000,000) 1,184 1,333 1,688 1,827 1,762 Percent Operating profit margin 9.6 10.9 13 12.5 11.8 Return on equity 11.8 13.6 15.3 13.8 14.5
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