Financial Ratios for 2018 Current Ratio Quick ratio Receivable Turnover Inventory Turnover Debt Ratio Competitor C 4.5:1 3.625:1 7 times 5.3 times 0.075:1 0.825:1 2.6 times 38.5% Competitor B 6:1 4.25:1 P&P Mfg. Co. 9.31:1 6.9:1 18.9 times 7.8 times 0.15:1 0.17:1 3.4 times 49.4% 20 times 8.6 times 0.2:1 Debt-equity Ratio Times Interest Earned Ratio Gross Profit Margin Ratio Net Profit Margin Ratio Return on Assets Return on Equity 1.75:1 4.5 times 51.2% 22.5% 24% 22% 17.6% 26.9% 31.5% 14.5% 16% 12%
Financial Ratios for 2018 Current Ratio Quick ratio Receivable Turnover Inventory Turnover Debt Ratio Competitor C 4.5:1 3.625:1 7 times 5.3 times 0.075:1 0.825:1 2.6 times 38.5% Competitor B 6:1 4.25:1 P&P Mfg. Co. 9.31:1 6.9:1 18.9 times 7.8 times 0.15:1 0.17:1 3.4 times 49.4% 20 times 8.6 times 0.2:1 Debt-equity Ratio Times Interest Earned Ratio Gross Profit Margin Ratio Net Profit Margin Ratio Return on Assets Return on Equity 1.75:1 4.5 times 51.2% 22.5% 24% 22% 17.6% 26.9% 31.5% 14.5% 16% 12%
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
Problem 81E
Related questions
Question
Give your insights into the relative solvency or stability of the company (as benchmarked with the competitors) using the following ratios:
debt ratio
times interest earned ratio
debt - equity ratio
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Recommended textbooks for you
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Fundamentals of Financial Management, Concise Edi…
Finance
ISBN:
9781305635937
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
College Accounting, Chapters 1-27 (New in Account…
Accounting
ISBN:
9781305666160
Author:
James A. Heintz, Robert W. Parry
Publisher:
Cengage Learning
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Fundamentals of Financial Management, Concise Edi…
Finance
ISBN:
9781305635937
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
College Accounting, Chapters 1-27 (New in Account…
Accounting
ISBN:
9781305666160
Author:
James A. Heintz, Robert W. Parry
Publisher:
Cengage Learning
Intermediate Financial Management (MindTap Course…
Finance
ISBN:
9781337395083
Author:
Eugene F. Brigham, Phillip R. Daves
Publisher:
Cengage Learning
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning