Question
URGENT! CAN SOMEONE GIVE ME AN ANSWER TO THESE 2 QUESTIONS BELOW? Ratios for GWM Ltd. and LDV Ltd. for year ending June 30 2021
URGENT! CAN SOMEONE GIVE ME AN ANSWER TO THESE 2 QUESTIONS BELOW?
Ratios for GWM Ltd. and LDV Ltd. for year ending June 30 2021 are reported below:
| GWM | LDV | |
| Profit margin (%) | 1.5% | 2.5% |
| Gross profit margin (%) | 30% | 20% |
| Return on Assets (%) | 4.8% | 5% |
| Debt ratio (%) | 51.5% | 46.2% |
| Account receivable turnover (%) | 2.5 | 2.7 |
| Days receivable | 146 days | 135 days |
Q1.Which company appears more successful at generating income for revenues? Explain your answers.
Q2. Using the ratios above and comparing GWM with LDV, which company is better in the financial situation?
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Finance For Freelancers Financial Intelligence
Authors: Andrew Holmes
1st Edition
1408101165, 978-1408101162
