Answered step by step
Verified Expert Solution
Question
1 Approved Answer
You are a business leader with a strategic outlook. You are responsible for three businesses operated by a multi-national corporation. Selected financial information for
You are a business leader with a strategic outlook. You are responsible for three businesses operated by a multi-national corporation. Selected financial information for each business as follows: Company Name Alpha Co. Beta, LLC Delta, Inc. Sales Operating Income Average Assets 3,900,000 270,000 3,800,000 6,500,000 1,225,000 10,500,000 2,990,000 475,000 7,890,000 PART 1: Rank the order of the three businesses from best (#1) to worse (#3) based on the following assessment models: (1) Margin ratio, (2) Turnover ratio, and (3) ROI - Return on Investment ratio Margin ratio (Operating Income divided by Sales) Alpha [ratio value] [ranking value] Beta [ratio value] Delta [ratio value] [ranking value] [ranking value] Turnover ratio (Sales divided by Average Assets) Alpha [ratio value] [ranking value] Beta [ratio value] [ranking value] Delta [ratio value] [ranking value] ROI (Operating Income Alpha [ratio value] Beta [ratio value] Delta [ratio value] divided by Average Assets) [ranking value] [ranking value] [ranking value] PART 2: Briefly explain why a comprehensive analysis of business results (that is, using multiple assessment models in business analysis) is important for a business leader with a strategic outlook.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started