Business Finance
Summer Winters
Randall Morris
Table of Contents
Title Page 1
Table of Contents 2
History of Samsung 3
Logo 4
Liquidity/ Current Ratio 5
Quick Ratio 6
Profitability Ratio/ Profit Margin Ratio 7
Gross Profit Margin Ratio 8
Return on Asset Ratio 9
Return on Equity Ratio 10
Asset Management Ratio/ Inventory Turnover 11
Fixed Asset Turnover Ratio 12
Days Sales Outstanding 13
Debt Management Ratio/ Debt Ratio 15
Debt to Equity Ratio 16
Times Interest Earned Ratio 17
Market Value Ratios/ Earnings per Share 18
Market/ Book Ratio/ Book Value per Share 19
Conclusion 21
Reference Page 24
History of Samsung
Samsung is a South Korean company that was founded in 1938 and even though we know them mostly because of their advancements in technology, which is not where they started. During their early days they started in food processing, insurance, textiles, and many other ventures. It wasn’t until the late 1960’s that they finally started to deal with the electronic industry. When you now hear the name “Samsung” you think of electronics. Samsung has their hand in many things when we look at innovation and technology. They are currently involved in computer, smart phones, TV’s, computer chips, and many other new technologies. Over the last several years, Samsung has evolved into one of the top cell phone makers. They have even begun to threaten the top notch cell phone company, Apple. This competition leads us to take a look at the two companies.
Liquidity Ratios
Liquidity ratio can be defined by “a class of financial metrics that is used to determine a company’s ability to pay off its short-terms debs obligations. Generally speaking, the higher the value of the ratio, the larger the margin of safety that the company possesses to cover short-term debts”. When looking at liquidity, we