LA 3 Manegerial Finance 2023. (1)

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Jan 9, 2024

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10/29/23, 5:35 PM about:blank about:blank 1/8 BUSI 2093 | UNIT 3 | Comparing Financials Question 1 | Compare the debt to equity ratio of each company. Give answers for total liabilities and shareholder equity in the box below. And then move the slider to show the D/E ratio for each company. McDonalds Total Liabilities | $ 56439000 | Shareholder Equity | $ -6003400 | McDonalds Ratio | -10 | McDonald's unusually has a negative D/E ratio, which might mean that the company has greater shareholder equity than total liabilities.
10/29/23, 5:35 PM about:blank about:blank 2/8 Microsoft Total Liabilities | $ 205753000 | Shareholder Equity | $ 206223000 | Microsoft Ratio | 10 | Microsoft has a D/E that is almost equal to 1, indicating that its capital structure has a very balanced mix of debt and equity. Question 2 | Compare the cash/assets ratio of each company. Give answers for total cash and total assets in the box below. And then move the slider to show the cash/assets ratio for each company.
10/29/23, 5:35 PM about:blank about:blank 3/8 McDonalds Total Cash | $ 1670000 | Total Assets | $ 50435600 | McDonalds Ratio | 3 | McDonald's is indicating that Microsoft holds a larger proportion of cash relative to its total assets than McDonald's.
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10/29/23, 5:35 PM about:blank about:blank 4/8 Microsoft Total Cash |$ 80515000 | ToalAssets |$ 411976000 | Microsoft Ratio | 19 | Compared to McDonald's, Microsoft has a substantially higher ratio, meaning that a bigger percentage of its assets are retained as cash or cash equivalents. Question 3 | Compare the ebit to assets ratio of each company. Give answers for ebit and total assets in the box below. And then move the slider to show the ebit/assets ratio for each company.
10/29/23, 5:35 PM about:blank about:blank 5/8 McDonalds EBIT | $ 11247800000 | Total Assets | $ 50435600000 | McDonalds Ratio | 5 |
10/29/23, 5:35 PM about:blank about:blank 6/8 Microsoft EBIT |$ 97016000000 | Toal Assets |$ 411976000000 | Microsoft Ratio | 5 | Question 4 | null
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10/29/23, 5:35 PM about:blank about:blank 7/8 McDonalds EBIT | $ 11247800 | Number of Shares | $ 1660600 | McDonalds Ratio | 10 | The Eps for McDonald's is around $10.45. This indicates that the corporation has made around $10.45 for each share of McDonald's common stock during the previous 12 months.
10/29/23, 5:35 PM about:blank about:blank 8/8 Microsoft EBIT |$ 97016000 | Number of Shares |$ 7432000 | Microsoft Ratio | 10 | Microsoft's earnings per share is around $10.32. This indicates that throughout the last 12 months, the company has made around $10.32 for each share of ordinary stock. This demonstrates Microsoft's profitability and capacity to produce profits for its owners.