Question
Your report should include your findings from the ratios (liquidity, leverage, and profitability) and your evaluation of the financial health of Intel based on your
Your report should include your findings from the ratios (liquidity, leverage, and profitability) and your evaluation of the financial health of Intel based on your evaluation. Your report should also include your identification of the strengths and weaknesses of the company and your evaluation of the financial strength of Intel.
In your report,
- Analyze the financial health of the company based on the annual report.
Ratios from part 1 for reference
Liquidity ratios
2012 Current ratio:
2012 Current ratio = current assets/current liabilities
2012 Current ratio = $31,358 / $12,898
2012 Current ratio = 2.43
2013 Current ratio:
2013 Current ratio = current assets/current liabilities
2013 Current ratio = $32,084/$13,568
2013 Current ratio = 2.36
2012 Quick ratio:
2012 Quick ratio = (current assets - inventories)/current liabilities
2012 Quick ratio = ($31,358 - $4,734)/$12,898
2012 Quick ratio = $26,624/$12,898
2012 Quick ratio = 2.06
2013 Quick ratio:
2013 Quick ratio = (current assets - inventories)/current liabilities
2013 Quick ratio = ($32,084 - $4,172)/$13,568
2013 Quick ratio = $27,912/$13,568
2013 Quick ratio = 2.06
Leverage Ratios
2012 Debt to Equity ratio:
Debt to equity ratio = (current liabilities + long-term debt + long-term
deferred tax liabilities + other long-term liabilities)/total shareholders' equity
2012 Debt to equity ratio = ($12,898 + $13,163 + $3,412 + $3,702)/$51,203
2012 Debt to equity ratio = $33,134/$51,203
2012 Debt to equity ratio = 0.65
2013 Debt to equity ratio:
Debt to equity ratio = (current liabilities + long-term debt + long-term
deferred tax liabilities + other long-term liabilities)/total shareholders' equity
2013 Debt to equity ratio = ($13,568 +$13,156 + $4,397 + $2,972)/$58,256
2013 Debt to equity ratio = $34,102/$58,256
2013 Debt to equity ratio = 0.59
2012 Debt ratio:
Debt ratio = (current liabilities + long-term debt + long-term deferred
tax liabilities + other long-term liabilities)/total assets
2012 Debt ratio = ($13,568 +$13,156 + $4,397 + $2,972)/$92,358
2012 Debt ratio = $33,134/$84,351
2012 Debt ratio = 0.39
2013 Debt ratio:
2013 Debt ratio = (current liabilities + long-term debt + long-term deferred
tax liabilities + other long-term liabilities/total assets
2013 Debt ratio = $34,102/$92,358
2013 Debt ratio = 0.37
Profitability Ratios
2012 Gross Profit Margin:
2012 Gross profit margin = gross margin/net revenue
2012 Gross profit margin = $33,151/$53,341
2012 Gross profit margin = 0.62
2013 Gross Profit Margin:
2013 Gross profit margin = gross margin/net revenue
2013 Gross profit margin = $31,521/$52,708
2013 Gross profit margin = 0.60
2012 Net Profit Margin:
2012 Net profit margin = net income/net revenue
2012 Net profit margin = $11,005/$53,341
2012 Net profit margin = 0.21
2013 Net Profit Margin:
Net Profit Margin =net income/net revenue
2013 Net Profit Margin = $9,620/$52,708
2013 Net Profit Margin = 0.18
https://www.annualreports.com/HostedData/AnnualReportArchive/i/NASDAQ_INTC_2013.pdf
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