Based on the financial statement information of Monster Inc. in the following table, answer the following questions: Unit in Million US$ accounts receivable annual sales Cost of goods depreciation fixed assets inventory 2019 150 71 31 Start of 2019 End of 2019 52 59 222 91 275 106 1) Calculate the Fixed-asset turnover, Inventory turnover ratio and Days receivable of Monster Inc 2) Compare the above results with the following industry average information, comment on their implications in terms of efficiency of asset utilisation. Industry average (Unit 2019 in Million US$) Fixed-asset turnover Inventory turnover ratio Days receivable 0.87 0.63 72

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
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Based on the financial statement information of Monster Inc. in the following table,
answer the following questions:
Unit in Million US$
accounts receivable
annual sales
Cost of goods
depreciation
fixed assets
inventory
2019
150
71
31
Start of 2019
52
222
91
End of 2019
59
275
106
1) Calculate the Fixed-asset turnover, Inventory turnover ratio and Days receivable
of Monster Inc
0.87
0.63
72
2) Compare the above results with the following industry average information,
comment on their implications in terms of efficiency of asset utilisation.
Industry average (Unit 2019
in Million US$)
Fixed-asset turnover
Inventory turnover ratio
Days receivable
Transcribed Image Text:Based on the financial statement information of Monster Inc. in the following table, answer the following questions: Unit in Million US$ accounts receivable annual sales Cost of goods depreciation fixed assets inventory 2019 150 71 31 Start of 2019 52 222 91 End of 2019 59 275 106 1) Calculate the Fixed-asset turnover, Inventory turnover ratio and Days receivable of Monster Inc 0.87 0.63 72 2) Compare the above results with the following industry average information, comment on their implications in terms of efficiency of asset utilisation. Industry average (Unit 2019 in Million US$) Fixed-asset turnover Inventory turnover ratio Days receivable
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