PART E Ratio Analysis Circuit City (CC), Best Buy (BBY), WalMart (WMT), Dell Com
ID: 2519443 • Letter: P
Question
PART E Ratio Analysis Circuit City (CC), Best Buy (BBY), WalMart (WMT), Dell Computers (DELL), Apple (AAPL) DuPont Analysis of ROE Profit margin Asset turnover Return on assets (ROA) Financial Leverage Return on equity (ROE) cC BBY WMT 3.40% 2.29 779% .53 19.70% DEL 4.82% 2.22 10.69% 7.20 76.97% -2.72% 3.52% 14.56% -8.54% 11.21% 249 2.94 21.29% | 32.93% 13.79% 1.74 24.06% Additional Ratio Accounts receivable turnover Inventory turnover Debt-to-assets ratio 35.48 5.92 60.00% | 65.94% BBY 72.90 6.47 WMT 102.50 8.14 DELL 7.95 1.92 AAPL 14.66 45.82 42.67% 026 Which company collects its receivables the quickest? (A, CC/B. BBY /C. WMT/D. DELL/E. AAPL) (A. CC/B. BBY/C. WMT/D. DELL/E. AAPL) (A, CC/B. BBY/C. WMT/ D. DELL /E. AAPL) 027 Which company has the least days in inventory? Q28 Which company was the least profitable? Q29 Which company is assuming the least financial risk? (A. CC/B. BBY/C. WMT/ D. DELL /E. AAPL) The Price-Earnings Ratio reflects investors assessments of a future. Which of the following statements is true Q30 a. will be lower if investors feel the stock is underpriced. b. will be higher if investors feel the stock is overpriced. c. will be higher if investors believe earnings will increase in the future. d. will be higher when there is a belief a company will have poor quality earnings. Grocery stores most likely have a. high net Profit Margin (ROS). b. low Inventory Turnover c. both a & b. d. None of the above. 031Explanation / Answer
Answer 26:- Wallmart company collects its receivables the quickest since it has the highest Accounts Receivables Turnover of 102.50 and hence, option C is correct.
Answer 27:-Circuit city company has the least days in inventory which is being reflected by inventory turnover of 5.52and answer is option A.
Answer 28:- Circuit city company was the least profitable as its profit margin is-2.72% and option A is right.
Answer 29:-Apple company is assuming the least financial risk with a financial leverage of 1.74 , the answer will be option D.
Answer 30:- the price earnings will be higher if investors believe earnings will increase in future and option C is the answer.
Answer 31:-Answer is option A, I.e, they usually have a high net profit margin.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.