Based on your Ratio Analysis, what steps would you advise your new client to take due to their company's current performance? Please give as detailed an answer as possible. Gross Profit Margin EBIT to Percentage of Sales Net Profit Margin Return on equity Return on Assets S. Canada Inc. Financial Ratios *Refer to Brightspace for the Ratio Formulas 2016 2015 Asset Turnover Working Capital Current Ratio Quick Ratio Days Sales Outstanding (DSO) Accounts Receivable Turnover (ART) Inventory Days on Hand Inventory Turnover Time Interest Earned Debt to Equity ratio Debt to Assets 31.78 -1.99 -2.16 -0.86 -0.51 0.24 $6,423,000.00 2.50 0.87 76.81 4.75 1,110.87 0.33 -6.46 68.18 40.54 32.60 -10.51 -9.89 -3.42 -2.08 0.21 $5,313,000.00 2.13 0.71 83.30 4.38 1,119.67 0.33 -360.00 67.98 40.47 2014 36.17 12.28 13.39 4.49 2.78 0.21 $7,634,000.00 2.21 0.94 73.61 4.96 1,164.57 0.31 45.37 62.34 38.40

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
icon
Related questions
Question
Based on your Ratio Analysis, what steps would you advise your new client to take due to their company's current
performance? Please give as detailed an answer as possible.
Gross Profit Margin
EBIT to Percentage of Sales
Net Profit Margin
Return on equity
Return on Assets
Asset Turnover
S. Canada Inc.
Financial Ratios
*Refer to Brightspace for the Ratio Formulas
2016
2015
Working Capital
Current Ratio
Quick Ratio
Days Sales Outstanding (DSO)
Accounts Receivable Turnover (ART)
Inventory Days on Hand
Inventory Turnover
Time Interest Earned
Debt to Equity ratio
Debt to Assets
Show Transcribed Text
31.78
-1.99
-2.16
-0.86
-0.51
0.24
$6,423,000.00
2.50
0.87
76.81
4.75
1,110.87
0.33
-6.46
68.18
40.54
32.60
-10.51
-9.89
-3.42
-2.08
0.21
$5,313,000.00
2.13
0.71
83.30
4.38
1,119.67
0.33
-360.00
67.98
40.47
2014
36.17
12.28
13.39
4.49
2.78
0.21
$7,634,000.00
2.21
0.94
73.61
4.96
1.164.57
0.31
45.37
62.34
38.40
Transcribed Image Text:Based on your Ratio Analysis, what steps would you advise your new client to take due to their company's current performance? Please give as detailed an answer as possible. Gross Profit Margin EBIT to Percentage of Sales Net Profit Margin Return on equity Return on Assets Asset Turnover S. Canada Inc. Financial Ratios *Refer to Brightspace for the Ratio Formulas 2016 2015 Working Capital Current Ratio Quick Ratio Days Sales Outstanding (DSO) Accounts Receivable Turnover (ART) Inventory Days on Hand Inventory Turnover Time Interest Earned Debt to Equity ratio Debt to Assets Show Transcribed Text 31.78 -1.99 -2.16 -0.86 -0.51 0.24 $6,423,000.00 2.50 0.87 76.81 4.75 1,110.87 0.33 -6.46 68.18 40.54 32.60 -10.51 -9.89 -3.42 -2.08 0.21 $5,313,000.00 2.13 0.71 83.30 4.38 1,119.67 0.33 -360.00 67.98 40.47 2014 36.17 12.28 13.39 4.49 2.78 0.21 $7,634,000.00 2.21 0.94 73.61 4.96 1.164.57 0.31 45.37 62.34 38.40
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps

Blurred answer
Knowledge Booster
Vertical statement analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Essentials Of Investments
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
FUNDAMENTALS OF CORPORATE FINANCE
FUNDAMENTALS OF CORPORATE FINANCE
Finance
ISBN:
9781260013962
Author:
BREALEY
Publisher:
RENT MCG
Financial Management: Theory & Practice
Financial Management: Theory & Practice
Finance
ISBN:
9781337909730
Author:
Brigham
Publisher:
Cengage
Foundations Of Finance
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education