Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Short-term Liquidity Analysis 2020 2019 2018 2017 2016 Current Ratio = Current Assets/Current Liabilities 1.4203 1.242 1.231 1.1893 1.2845 Quick Ratio = Current assets-inventory/Current Liability

  1. Short-term Liquidity Analysis

2020

2019

2018

2017

2016

Current Ratio

= Current Assets/Current Liabilities

1.4203

1.242

1.231

1.1893

1.2845

Quick Ratio

= Current assets-inventory/Current Liability

0.575

0.554

0.583

0.621

0.601

Cash Ratio

=Cash + Marketable Securities/Current Liabilities

0.322

0.309

0.412

0.342

0.398

  1. Long-term Liquidity Analysis

2020

2019

2018

2017

2016

Debt Ratio

= Total Liabilities/ Total Assets

63.46

61.71

59.83

57.14

49.92

Shareholders Equity

=Total Assets Total Liabilities

98.51

90.31

89.89

87.01

81.9

Debt to Tangible Net Worth Ratio

= Total Liabilities /Shareholders Equity - Intangible Assets

110.87

90.65

88.65

90.87

95.079

  1. Analysis for Investors

2020

2019

2018

2017

2016

Dividend yield

=Dividend of shares/market price share *100

16.23

15.25

13.55

1.92

8.59

Price to earning ratio

= Price per share or earning per share

35.23

16.19

4.185

3.159

2.95

Price to sale ratio

= market capitalization/Sale

0.675

0.343

0.987

0.653

0.233

Price to cash flow ratio

= Market capitalization/Operating CF

1.679

1.32

2.59

2.96

19.66

Price to book ratio

= Market/Book Vale (F.A+C.A)-L

0.233

0.314

0.447

0.654

0.959

Please provide interpretation for all the parts A,B and C. word limit is 800 words

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Computer Accounting With Peachtree Complete 2004 Release 11.0

Authors: Carol Yacht, Peachtree Software

8th Edition

0072987952, 978-0072987959

More Books

Students also viewed these Accounting questions