What are the ratio trends, Accounting Basics

Profitability refers to a company's ability to obtain  profits and positive cash flows and to its ability to obtain an adequate return on invested capital or a company's ability to give an adequate return relative to resources devoted to company operations. It is the key to a company's long- run survival. Performance and profitability of a company often are evaluated using the financial information given by a firm's annual report in comparison with other firms in the similar industry. Ratios are useful in this assessment.

Required:

1. Show the incomes - gross, operating, and net - and measure their margin ratios for your company for the last three years.

2. What do your calculations indicate about the firm? What are the ratio trends?

3. Calculate the return on assets, return on equity, cash return on assets, cash flow margin, book value per common share, and effective tax rate for your company for the last three years.

 

Posted Date: 3/19/2013 7:01:17 AM | Location : United States







Related Discussions:- What are the ratio trends, Assignment Help, Ask Question on What are the ratio trends, Get Answer, Expert's Help, What are the ratio trends Discussions

Write discussion on What are the ratio trends
Your posts are moderated
Related Questions
Given a net income of $90,000, what is the return on investment for 2000? A. 7.9% B. 22.22% C. 22.78% D. 24.8%

Jane and Walt form Orange Corporation. Jane transfers equipment worth $475,000 (basis of $100,000) and cash of $25,000 to Orange Corporation for 50% of its stock. Walt transfers

The organization's name is Coffee Affectionardo Pty Ltd and the company imports and sell various  types  of coffee  machines, grinders,  filters and beans. The business has two dir

i need systems understanding aid 7th edition answers!

Earlier we defined accounting as the process of measuring, identifying and communicating economic information to permit informed judgments and decisions by the users of the informa

Q. Advantage of a pre-inventory sale? Have you still taken advantage of a pre-inventory sale at your favourite retail store Many stores offer bargain prices to decrease the mer

Q. Learning objectives of Accounting theory? - Discuss and Identify the underlying assumptions or else concepts of accounting. - Discuss and Identify the main principles of

Why to and by using in journal, trading a/c, p&l a/c and ledger?

Concept of Conservatism: The concept of conservatism, also termed as the concept of prudence, is frequently stated as "anticipate no profit, give for all possible losses". It

.1  INTRODUCTION The world keeps developing new ways and technologies to help do things and achieve a timeline shorter compared to the way it previously used to be done. New techn