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Required Excerpts from Best Buy's financial statements are included at the end of this document. Best Buy is a growing company. The following table reflects
Required Excerpts from Best Buy's financial statements are included at the end of this document. Best Buy is a growing company. The following table reflects the growth in sales and income during the year ended March 2, 2002: Year Ended % Growth Year Ended March 3, 2001 Sales Net Income Average book value Average assets Average debt March 2, 2002 19,597 2,171.5 28% 44% 49% 56% 241% 15,327 570 396 1,459 3,917.5 163.5 6,107.5 558 1. Comment on Best Buy's income and growth during the period. 2. Calculate and interpret the following ratios for Best Buy (assuming a 35% tax rate, that interest expense was $28, and that all sales are on credit) for the year ended March 2, 2002 Return on Assets Asset Turnover b. c. Profit Margin d.Accounts Receivable Turnover Inventory Turnover Plant Asset Turnover Cost of Goods Sold to Sales Ratio Selling, General and Administrative Expenses to Sales Ratico Return on Equity Debt to Asset Ratio g. h. J. k.Cost of Debt Interest Coverage Ratio Current Ratio n. Quick Rati
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