Scenario 1 if you were general manager of a division on

Reference no: EM13597501

• Scenario 1: If you were general manager of a division, on which three key ratios would you choose to have your unit's financial performance evaluated? Please explain your choices and why you selected these ratios, and the yardsticks (benchmarks) that you would use to measure your company's performance.

• Scenario 2: In looking at an analysis of financial statements that you have prepared for your employer, a management team member points out that the gross profit margin rate has declined in each of the past three years. How would you explain and evaluate the reasons for this situation? What other ratios might be useful in your analysis?

• Scenario 3: The current ratio in the company, for which you are a financial analyst, is 3 to 1. The average for other firms in the industry is 1.6 to 1. Management has asked you to evaluate the company's ratio, and explain why it is nearly twice the industry's average. What factors are responsible for the difference? Are we better off than our competitors, or worse? Explain.

Reference no: EM13597501

Questions Cloud

On 1-1-2008 holmes co borrowed cash from first city bank by : on 1-1-2008 holmes co. borrowed cash from first city bank by issuing an 80000 face value 3-year term note that had a 7

Manufacturing overhead is a special type of account discuss : manufacturing overhead is a special type of account. discuss its nature and determine if it is a balance sheet account

Show the effect of these transactions on the financial : 1. on 2-1-2010 borrowed 60000 cash from the local bank. the note had a 6 interest rate and was due on 6-1-2010.2. cash

David company uses the weighted-average method in its : david company uses the weighted-average method in its process costing system. the first processing department the

Scenario 1 if you were general manager of a division on : bull scenario 1 if you were general manager of a division on which three key ratios would you choose to have your units

Insides an interior decorating firm uses a job order : insides an interior decorating firm uses a job order costing system and applies overhead to jobs using a predetermined

Sunnie purchased 50 percent of the shares of corporation h : sunnie purchased 50 percent of the shares of corporation h a calendar year s corporation for 7000. she also guaranteed

Oliver gave his wife 5100000 worth of publicly traded stock : oliver gave his wife 5100000 worth of publicly traded stock in august 2011 outright. olivers basis in the stock was

Property had a 310000 fmv the taxable gift was 300000 : during the current year stan sells a tract of land for 800000. the property was received as a gift from maxine on march

User Account

All Pages