Inforamtion system
Airline 3
Railroad 4
Pharmaceutical 9
Computer and office equipment production and servicing 13
Discount general merchandise retail 6
Electric utility 8
Fast food restaurant chain 1
Wholesale food distribution 12
Supermarket chain 10
Internet retailing 5
Tax preparation and diversified financial services 7
Computer software development 2
Commercial Banking 11
I see fast food restaurant as number 1. High PP&E is because fast food restaurants need to build physical stores national wide. The food is cheap which result in account receivable is low. Number 2 is computer software development. Because there is no inventory, meanwhile computer software development need put lots of effort to R&D. Airline is number 3. Inventory is a small amount. But because of the nature and cost of airplanes, the ROE and financial leverage is remarkable. Railroad is number 4. Railroad is a long-term project, and need to borrow massive amount of capital. I see it from high percentage of account receivable, account payable, at the same time no inventory turnover. Internet retailing is number 5. Online retailing is a fast pace industry, stores update their inventories quite often, and it is common that high volume orders from different customers. They all contribute to high account receivable, account payable, and receivable collection. Number 6 is discount general merchandise retail. Key indicators are PP&E, inventories, inventories turnover, accounts payable, accounts receivable and gross profit margin. Tax preparation and diversified financial services fits number 7. There is a certain amount of account receivable that are from their clients. Plus account payable is high, because of bills of rental offices, salaries of employees and etc. Electric utility goes with number 8. Electricity companies bill customers every month, and receivable collections are high. Moreover, electric utility companies need to build facilities like electricity towers, hence net PP&E are quite a
Railroad 4
Pharmaceutical 9
Computer and office equipment production and servicing 13
Discount general merchandise retail 6
Electric utility 8
Fast food restaurant chain 1
Wholesale food distribution 12
Supermarket chain 10
Internet retailing 5
Tax preparation and diversified financial services 7
Computer software development 2
Commercial Banking 11
I see fast food restaurant as number 1. High PP&E is because fast food restaurants need to build physical stores national wide. The food is cheap which result in account receivable is low. Number 2 is computer software development. Because there is no inventory, meanwhile computer software development need put lots of effort to R&D. Airline is number 3. Inventory is a small amount. But because of the nature and cost of airplanes, the ROE and financial leverage is remarkable. Railroad is number 4. Railroad is a long-term project, and need to borrow massive amount of capital. I see it from high percentage of account receivable, account payable, at the same time no inventory turnover. Internet retailing is number 5. Online retailing is a fast pace industry, stores update their inventories quite often, and it is common that high volume orders from different customers. They all contribute to high account receivable, account payable, and receivable collection. Number 6 is discount general merchandise retail. Key indicators are PP&E, inventories, inventories turnover, accounts payable, accounts receivable and gross profit margin. Tax preparation and diversified financial services fits number 7. There is a certain amount of account receivable that are from their clients. Plus account payable is high, because of bills of rental offices, salaries of employees and etc. Electric utility goes with number 8. Electricity companies bill customers every month, and receivable collections are high. Moreover, electric utility companies need to build facilities like electricity towers, hence net PP&E are quite a