Question
what is your opinions? do you agree with those statements? 1-Which ratios have you heard of before this course? the ratios that i had heard
what is your opinions? do you agree with those statements?
1-Which ratios have you heard of before this course? the ratios that i had heard of before this course are return on equity ratio and net profit margin ratio. 2-Which ratios are more important to you as you start to invest now or in the near future? The ratios that are important to me as i started to invest in the future will be P/E ratio, dividend payout ratio and profit margin, these ratios will help me to assess the firms performance, ratios do not show the whole story behind a business but, they can be reviewed to determine whether or not an investment should be made in specific business. 3-Did this chapter change your thinking at all on how to evaluate a firms performance? yes this chapter did absolutely change my thinking on how to evaluate a firm's performance, i can now look at a firm from a total point of view and analyze it on the basis of different parameters like liquidity, leverage, turnover, profitability and relative valuation as well. 4-How would you rate the financial health of corporate America currently? Why? I would rate the financial health of corporate america to be below average because debt of american companies is rising on one hand and the growth rate of revenues of these companies are falling on the other hand.
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