In the last three years, Dollar General’s profits have risen. In
In the last three years, Dollar General’s profits have risen. In
Horizontal analysis allows side by side comparisons on a year to year basis to determine the performance from one year to the next. The company decides on standards to compare the results of the analysis. Standards are researched by checking competitors, internet research of general industry guidelines or standards created from past experience in the company.…
Efficient Production………………………………………22 Simpler Product Design……………………………….…22 Lower Input Costs……………………………………....22 Low-cost Distribution…………………………………...22 Minimal Brand Image Cost……………………………..23 Tight Cost Control………………………………………..23…
Working capital is the measure of a company’s efficiency and operating liquidity. The working capital is usually calculated by subtracting current assets from current liabilities. To find the Working Capital Ratio, divide current assets by current liabilities. Working capital can be positive or negative depending on how much debt the company currently has on its balance sheet. Generally, companies that have a lot of working capital will experience more growth in the future. These companies will be able to excel because they can expand and improve their operations using their existing resources. Companies with small or negative working capital may lack the funds needed for growth or future operations. Working capital also shows if the company has sufficient liquid resources to satisfy short-term liabilities and operational expenses.…
Vietnam was created by the nature with S-shaped. One side of Vietnam is exposed to the sea; one side is exposed to mountain. However, millions of Vietnamese are using fish sauce in daily meals. Fish sauce is a very special product generated by Vietnamese. Vietnamese feels proud to create their special dishes such as “beef noodle” or “rice grill-pork”. However, fish sauce is the main key to create delicious Vietnamese foods, it make food more tasty and closely to Vietnamese.…
American retailer Kohl’s has become a prevalent fixture for the purchase of discounted clothing and home goods in the mid-west for over twenty-five years. The history of the company however has roots much more modest than present day market dominance would suggest. Dating back to a Wisconsin supermarket in 1946, founder Max Kohl grew his small business to the most successful chain of supermarkets in the Milwaukee area (12). By 1962 Kohl opened his first department store in Brookfield, Wisconsin where an eclectic selection of merchandise, from sporting goods, motor oil and candy, was sold (11). In 1972, the Kohl’s Company which by then consisted of 50 grocery stores, six department stores, three drug stores and three liquor stores, sold 80 percent of its interests to the American subsidiary of British American Tobacco (BAT), p.l.c., BATUS, Inc. The Kohl’s family ended participation in the operations of the company after soon after the sale (11).…
Office Depot is a supplier of office products and services. The company's selection of brand name office supplies includes business machines, computers, computer software and office furniture, while its business services encompass copying, printing, document reproduction, shipping, and computer setup and repair. An S&P 500 company, Office Depot generates revenues of over US $14 billion annually and has 42,000 employees worldwide. It is headquartered in Boca Raton, Florida. Office Depot is one of the biggest office supplies retailers, but its sales revenue decreased dramatically 26% from 14.5 billion dollars in 2008 to 10.7 billion dollars in 2012.…
Macy’s is known as the Great American Department Store (Macy’s) and it operates approximately 850 stores and 161,000 full time employees. During the recession, many department stores closed and downsized, however Macy’s survived the recession with annuals sales of $23.5 billion as reported in the 2009 Annual Report. Macy’s also reported improvements in cash flow and enhanced gross margins even after paying off $966 million in debt in fiscal 2009 subsequently ending with $1.7 billion in cash which is $300 million more than 2008. During fiscal year 2009, Macy’s had 420 million shares of Common Stock outstanding with stock price of $16.61 (Macy’s Annual…
This analysis contains references to years 2010 and 2009 for Dollar General Corporation, which represent fiscal years ended January 28, 2011 and January 29, 2010 respectively. The main issues which the company is concerned about are its ability to increase sales and profitability and reduce costs in the current economic situation; another issue is an ability to repay an extensive amount of long-term debt which increases its risks.…
The annual report and 10-K filings were obtained from macys.com. The financial statements included in the annual report are as follows: consolidated statements of operations, consolidated balance sheets, consolidated statements of changes in shareholders’ equity, consolidated statement of cash flows, and notes to consolidated financial statements. In the report, Macy’s Inc. recognizes several competitors which are Bed Bath & Beyond, Belk, Bon Ton, Burlington Coat Factory, Dillard’s, Gap, J.C. Penney, Kohl’s, Limited, Lord & Taylor, Neiman Marcus, Nordstrom, Saks, Sears, Target, TJ Maxx and Wal-Mart. The top three competitors according to ‘finance.yahoo.com’ are Dillard’s Inc, Saks Inc, and J.C. Penney Corporation, Inc. The report states that the company’s independent registered public accounting firm is KPMG LLP. In KPMG LLP’s opinion, “the consolidated financial statements referred to Macy’s Inc., present fairly, in all material respects, the financial position of Macy’s, Inc. and subsidiaries as of January 29, 2011 and January 30, 2010, and the results of its operations and its cash flows for each of the years in the three-year period ended January 29, 2011,…
c. Net profit if 1 million CDs are sold $9 mil – (2.6*1mil + 525,000) = $5,875,000…
Dollar General has reached an inflection point in the company’s history. Recent growth has been explosive, sending revenues to a high of over $9 billion in 2007. However that data may be misleading, though revenues have been increasing each year the rate of revenue growth has been declining steadily since 2000. This phenomenon of diminishing margin of returns, as well as recent issues forcing the close of 200 stores in 2006, has put Dollar General in an uncomfortable financial position with its Wall Street investors. The question we will be addressing in our paper is the strategy Dollar General should use to grow its business efficiently and create sustainable long-term advantages.…
Ratio analysis is a common and useful way to compare accounting numbers to evaluate the performance. Fixed-asset turnover as the profitability analysis to interpret how well a company manages and utilizes its property, plant, and equipment asset (PP&E). The fixed-asset turnover of Bed Bath & Beyond Inc. is computed by dividing its net sales by its average total fixed assets during 2011 period. The fixed-asset turnover of 7.8355 indicates that Bed Bath& Beyond Inc. could invest in one dollar’s fixed-asset to generate the $7.8355 revenues. This ratio measures the efficiency of Bed Bath & Beyond Inc. in using its fixed asset to make sales.…
X-Ray machine – Capital Lease – Useful life is 15 years; Option of buying the equipment at a bargain price later…
The discount retail industry consists of several different stores, which could be further broken down into many different segments. Dollar General falls under the category known as the dollar store and is the current market segment leader above its close competitors in the same dollar store category, such as dollar Tree, Family Dollar and Fred’s. The dollar store industry houses four distinct types of retailers.…
Macy’s Inc. has established itself as a strong player in the retail industry, with over 850 Macy’s and Bloomingdale’s stores in 45 states. Macy’s competes against retail giants like Nordstrom, Kohl’s, JC penny and Saks Fifth Avenue for market share in the increasingly competitive department store industry. This financial report will choose Nordstrom as the major competitor, and serves as the comparison company.…