a. Denali Limited, a manufacturing company, had the following income statement information: Revenue R.4,000,000 Cost of goods sold Rs.3,000,000 Other operating expenses Rs.500,000 Interest expense Rs.100,000 Tax expense Rs.120,000. Calculate Denali's gross profit. b. United Microelectronics Corp. (UMC) is a semiconductor foundry company based in Taiwan. As part of an analysis of management's operating efficiency, an analyst collects the following activity ratios from Bloomberg. Interpret the performance of company on basis of ratios. Ratio 2004 2003 2002 2001 DOH 35.68 40.70 40.47 48.51 DSO 45.07 58.28 51.27 76.98 Total asset turnover 0.35 0.28 0.23 0.22
a. Denali Limited, a manufacturing company, had the following income statement information: Revenue R.4,000,000 Cost of goods sold Rs.3,000,000 Other operating expenses Rs.500,000 Interest expense Rs.100,000 Tax expense Rs.120,000. Calculate Denali's gross profit. b. United Microelectronics Corp. (UMC) is a semiconductor foundry company based in Taiwan. As part of an analysis of management's operating efficiency, an analyst collects the following activity ratios from Bloomberg. Interpret the performance of company on basis of ratios. Ratio 2004 2003 2002 2001 DOH 35.68 40.70 40.47 48.51 DSO 45.07 58.28 51.27 76.98 Total asset turnover 0.35 0.28 0.23 0.22
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:a. Denali Limited, a manufacturing company, had the following income
statement information: Revenue R.4,000,000 Cost of goods sold
Rs.3,000,000 Other operating expenses Rs.500,000 Interest expense
Rs.100,000 Tax expense Rs.120,000. Calculate Denali's gross profit.
b. United Microelectronics Corp. (UMC) is a semiconductor foundry
company based in Taiwan. As part of an analysis of management's
operating efficiency, an analyst collects the following activity ratios from
Bloomberg. Interpret the performance of company on basis of ratios.
Ratio
2004
2003
2002
2001
DOH
35.68
40.70
40.47
48.51
DSO
45.07
58.28
51.27
76.98
Total asset turnover
0.35
0.28
0.23
0.22
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