MODERN CEMENT Ratio Analysis Activity Analysis |ST Activity Ratios |2002 |2003 |2004 |2005 |2006 | |Inventory Turnover Ratio |0 |1.11 |0.097 |0.085 |0.696 | |Average No. Days Inventory In Stock |0 |328.9 |3742.72 |4301.69 |524.56 | Interpretations: Short Term Activity ratios calculate the operational efficiency regarding the utilization
Premium Generally Accepted Accounting Principles Balance sheet Financial ratios
Chapter 13 Auditing the Inventory Management Process Answer Key True / False Questions 1. The "cradle-to-grave" cycle for inventory begins when goods are purchased and stored and ends when the finished goods are shipped to customers. TRUE AACSB: Analytic AICPA BB: Industry AICPA FN: Decision Making Blooms: Remember Difficulty: 1 Easy Learning Objective: 13-01 Develop an understanding of the inventory management process. Topic: Overview of Inventory Management Process 2. A receiving
Premium Inventory Audit Inventory turnover
Inventory turnover Viviana Palacios MGT521 Professor Edward Dempsey July 26‚ 2010 The investment of a company’s success depends on their inventory. Inventory turnover is a ratio showing how many times a company’s inventory is sold and replaced over the period of time. The risk of Kudler Fine Foods was to make sure that their perished goods had a fast inventory turnover rate. The importance of high inventory turnover was expected to protect the brand’s integrity and vision of keeping all goods
Premium Inventory Balance sheet
significant decreases in A/R and inventories. Reviewing the financial ratios‚ we also noted the relationship between inventories and COGS‚ which is not included in Beneish’s index. The high growth rate of sales should indicate the importance of the inventory turnover. By using average inventories as the denominator of the inventory turnover ratio for a firm with high growth rates will tend to increase the turnover rate. However‚ the inventory turnover ratios for the Company seem unusually small
Premium Ratio Inventory Inventory turnover
1. Financial Ratios--- • Liquidity Ratio: measure the availability of cash to pay debt. Current Ratio = Current assets/ Current Liabilities 262‚515/ 285‚030= 0.92 There is a problem meeting its short term obligations The best way to improve this ratio and better position the business to cover its short-term obligations is to better manage current liabilities (accounts payables). Generate more profit (cash) out of each sale by increasing profit (as long as it is competitive within the industry)
Premium Financial ratios Balance sheet Revenue
Ratio Description The company Inventory turnover An activity ratio calculated as revenue divided by inventory. Rio Tinto PLC’s inventory turnover deteriorated from 2010 to 2011 and from 2011 to 2012. Receivables turnover An activity ratio equal to revenue divided by receivables. Rio Tinto PLC’s receivables turnover improved from 2010 to 2011 but then slightly deteriorated from 2011 to 2012. Payables turnover An activity ratio calculated as revenue divided by payables. Rio Tinto PLC’s payables
Premium Rio Tinto Group Working capital Financial ratios
popular entertainment products. In this paper‚ I will analyze the Topps Company’s annual report. I will discuss the business’s inventory turnover ratio and average days to sell their inventory for 2006 and 2005‚ whether the company’s management of inventory is getting better or worse and to conclude‚ I will discuss the cost flow method that Topps use to account for inventory. Examining the Topps financial report can help the corporation recognize exactly where they stand financially in order for the
Premium Balance sheet Annual report Inventory
STUDY 1.2.1 Meaning of Ratio A ratio is a simple arithmetical expression of the relationship of one number to another. According to Accountants Handbook by Wixon Kell and Bedford‚ a ratio is an expression of the quantitative relationship between two numbers. In short it can be defined as the indicated quotient of two mathematical expressions. The ratios can be expressed in‚ 1. Percentages 2. Fraction 3. Proportion of numbers. 1.2.2 Meaning of Ratio Analysis: - Ratio Analysis is a
Premium Balance sheet Financial ratio Asset
DEPARTMENT OF COMMERCE SCHOOL OF MANAGEMENT PONDICHERRY UNIVERSITY ASSIGNMENT ON ADVANCED COST ACCOUNTING ANALYSIS OF DIVISIONAL PERFORMANCE OF ASIAN PAINTS LTD SUBMITTED TO: - SUBMITTED BY: - DR.G.SHANMUGHASUNDARAM A.PURUSHOTHAMAN ASSOCIATE PROFESSOR M.COM (BUSINESS FINANCE) DEPT. OF COMMERCE 2nd YEAR PONDICHERRY UNIVERSITY REG. NUMBER: 11351059 INTRODUCTION DIVISIONAL PERFOMANCE OF COST CENTRE AND PROFIT CENTRE A profit
Premium Inventory turnover Investment Financial ratios
we used to make our decision were ratios for liquidity‚ solvency‚ and profitability. As a result of our analyses‚ we have chosen the Hershey Company. Liquidity Liquidity ratios "measure short-term ability of the company to pay its maturing obligations and to meet unexpected needs for cash" (Kimmel Weygandt‚ & Kieso‚ 2007‚ p. 74). The higher the ratio value the larger the margin of safety that the company possesses to cover short-term debts. The liquidity ratios we used in analyzing both Hershey
Premium Financial ratios Financial ratio Balance sheet