Posted: September 29th, 2022
Place your order now for a similar assignment and have exceptional work written by our team of experts, At affordable rates
For This or a Similar Paper Click To Order Now
Using Part 5 of the text, “Financial Intelligence”, answer the following questions. Submit via Canvas.
Part 5
The power of ratios lies in the fact that:________________________________________________________________________________________________________________________________________________
What are the three ways that ratios can be compare to:
__________________________________
__________________________________
__________________________________
What are the four categories of ratios that managers and other stakeholders use:
__________________________________
__________________________________
__________________________________
__________________________________
What is the formula used to calculate the Gross Margin percentage
A negative trend in gross margin typically indicates:
___________________________________
___________________________________
What is the formula used to calculate Operating Margin percentage
A downward trend in operating margin could indicate that _______________________________________________________________________________________________________________________________________
What is the formula used to calculate the Net Profit Margin percentage
What does the net profit margin tell a company ________________________________________________________________________________________________________________________________________
What is the formula used to calculate Return on Assets (ROA)
List the two ways that ROA be too high?
What is the formula used to calculate Return on Equity (ROE)
ROE is a good indication of whether the company is capable of _________________________________________________________________________________________________________________________________
What is operating leverage? __________________________________________________________________________________________________________________________________
What is financial leverage? __________________________________________________________________________________________________________________________________
What is the formula used to calculate the Debt-To-Equity ratio (D/E)
What does a D/E greater than one mean?
What is the formula used to calculate the Current Ratio?
A current ratio that is too high can indicate __________________________________________________________________________________________________________________________________
What is the formula used to calculate the Quick ratio?
What is the formula used to calculate Days in Inventory (DII)?
What is the formula used to calculate Inventory Turns?
23 The lower the DII and the higher Inventory turns indicates ____________________________________________________________________________________________________________________________________
24.What is the formula used to calculate Days Sales Outstanding (DSO)?
Careful management of DSO can ____________________________________________________________________________________________________________________________________
What is the formula used to calculate Days Payable Outstanding (DPO)?
Watching DPO is a way of ensuring that the company ____________________________________________________________________________________________________________________________________
What is the formula used to calculate Property, Plant and Equipment turnover (PPE)
What affect does leased property have on the PPE calculation?
What is the formula used to calculate Total Asset Turnover?
What is the formula used to calculate Earnings Per Share (EPS)
What is EBITDA?
What is the formula used to calculate the Price-to-Earnings ratio (P/E)?
Historically, most businesses have traded in public markets at P/E ratios of __________________
Place an order in 3 easy steps. Takes less than 5 mins.