Please help me evaluate these financial ratios to identify any trends or issues and potential reasons for them. Could Covid have played a role?Please help me interpret the ratios in Group C from an investors view point from period 12/31/19 & 6/30/20 Group C-6/30/20Ø Profit margin= Net Income/ SalesNet Income=350,000,000Sales=Profit margin=10,295,000,0000.03Ø Return on equity= Net Income/ Total EquityNet Income350,000,000Total Equity=Return on equity=60,065,000,0000.01Ø EPS= Net Income/ Shares OutstandingNet Income=350,000,000Shares Outstanding=EPS=1,950,000,0000.18Ø Price-earnings ratio= Price Per Share/ Earnings Per SharePrice Per Share=49.3Earnings Per Share=Price-earnings ratio=0.18273.89Ø Debt-equity ratio= Total Debt/ Total EquityTotal Debt=112,671,000,000Total Equity=60,065,000,000Debt-equity ratio=1.88 Group C-12/31/19Ø Profit margin= Net Income/ SalesNet Income113,000,000Sales=13,335,000,000Profit margin=0.00847Ø Return on equity= Net Income/ Total EquityNet Income=113,000,000Total Equity=Return on equity=75,722,000,0000.00149Ø EPS= Net Income/ Shares OutstandingNet Income=113,000,000Shares Outstanding=EPS=2,026,000,0000.06Ø Price-earnings ratio= Price Per Share/ Earnings Per SharePrice Per Share=82.04Earnings Per Share=Price-earnings ratio=0.18455.78Ø Debt-equity ratio= Total Debt/ Total EquityTotal Debt=103,041,000,000Total Equity=75,722,000,000Debt-equity ratio=1.36

Introduction Ratio analysis: Financial ratios are mathematical comparisons of financial statement…

Please help me evaluate these financial ratios to identify any trends or issues and potential reasons for them. Could Covid have played a role? Please help me interpret the ratios in Group C from an investors view point from period 12/31/19 & 6/30/20

Please help me evaluate these financial ratios to identify any trends or issues and potential reasons for them. Could Covid have played a role? Please help me interpret the ratios in Group C from an investors view point from period 12/31/19 & 6/30/20

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 99.4C

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