Ratio Year 2005 Year 2004 What it tells you?

Return on Investment: 147430 290710

𝑁𝑒𝑡 𝐼𝑛𝑐𝑜𝑚𝑒 = 0.13 𝑜𝑟 13% = 0.28 𝑜𝑟 28%
1168260 + 1146040 1146040 + 919480
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝑂𝑤𝑛𝑒𝑟 ′ 𝑠 𝐸𝑞𝑢𝑖𝑡𝑦 2 2
Return on Assets: 147430 290710
𝑁𝑒𝑡 𝐼𝑛𝑐𝑜𝑚𝑒 = 0.08 𝑜𝑟 8% = 0.18 𝑜𝑟 18%
1854000 + 1669320 1669320 + 1511520
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝑇𝑜𝑡𝑎𝑙 𝐴𝑠𝑠𝑒𝑡𝑠 2 2
Net Profit Margin: 147430 290710
𝑁𝑒𝑡 𝐼𝑛𝑐𝑜𝑚𝑒 = 0.024 𝑜𝑟 2.4% = 0.053 𝑜𝑟 5.3%
6039750 5452010
𝑆𝑎𝑙𝑒𝑠
Asset Turnover: 6039750 5452010
𝑆𝑎𝑙𝑒𝑠 = 3.40 𝑡𝑖𝑚𝑒𝑠 = 3.39 𝑡𝑖𝑚𝑒𝑠
1854000 + 1669320 1699320 + 1511520
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝑇𝑜𝑡𝑎𝑙 𝐴𝑠𝑠𝑒𝑡𝑠 2 2
Return on Assets: 147430 6039750 290710 5452010
𝑁𝑒𝑡 𝐼𝑛𝑐𝑜𝑚𝑒 𝑆𝑎𝑙𝑒𝑠 𝑥 = .08 𝑜𝑟 8% 𝑥 = 0.17 𝑜𝑟 17%
6039750 1854000 5452010 1699320
𝑥
𝑆𝑎𝑙𝑒𝑠 𝑇𝑜𝑡𝑎𝑙 𝐴𝑠𝑠𝑒𝑡𝑠
Average Collection Period: 365 365
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝐴𝑅 𝑥 365 = 0.47 𝑡𝑖𝑚𝑒𝑠 = 0.37 𝑡𝑖𝑚𝑒𝑠
6039750 5452010
𝐴𝑛𝑛𝑢𝑎𝑙 𝐶𝑟𝑒𝑑𝑖𝑡 𝑆𝑎𝑙𝑒𝑠 12090 + 34800 3480 + 7550
2 2
Inventory Turnover: 3573070 3135730
𝐶𝑜𝑠𝑡 𝑜𝑓 𝑔𝑜𝑜𝑑𝑠 𝑠𝑜𝑙𝑑 = 4.48 𝑡𝑖𝑚𝑒𝑠 = 4.11
738630 + 857090 857090 + 668200
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝐼𝑛𝑣𝑒𝑛𝑡𝑜𝑟𝑦 2 2
Average age of Payables:
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝐴𝑃 𝑥 365
𝑁𝑒𝑡 𝑃𝑢𝑟𝑐ℎ𝑎𝑠𝑒𝑠
Working Capital:
𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐴𝑠𝑠𝑒𝑡 − 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐿𝑖𝑎𝑏
Current Ratio:
𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐴𝑠𝑠𝑒𝑡
𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐿𝑖𝑎𝑏
Quick Ratio:
𝐶𝑎𝑠ℎ + 𝑀𝑘𝑡𝑏𝑙𝑒 𝑆𝑒𝑐. +𝐴𝑅
𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝐿𝑖𝑎𝑏
Debt to Equity Ratio:
𝑇𝑜𝑡𝑎𝑙 𝐷𝑒𝑏𝑡
𝑇𝑜𝑡𝑎𝑙 𝐸𝑞𝑢𝑖𝑡𝑦
Times Interest Earned:
𝑁𝑒𝑡 𝐼𝑛𝑐𝑜𝑚𝑒 + (𝐼𝑛𝑡𝑒𝑟𝑒𝑠𝑡 + 𝑇𝑎𝑥𝑒𝑠)
𝐼𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝐸𝑥𝑝𝑒𝑛𝑠𝑒
Cash flow to Liabilities:
𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝐶𝑎𝑠ℎ 𝐹𝑙𝑜𝑤
𝑇𝑜𝑡𝑎𝑙 𝐿𝑖𝑎𝑏𝑖𝑙𝑖𝑡𝑖𝑒𝑠