The return to form mirrored somewhat the bounceback in the current ratio last year. However, it is worth considering that the return on equity increased only because earnings did -- equity did not increase as it should have. Had the increase in profits been financed in part by debt rather than entirely by debt, the ROE would not have rebounded as it did last year. Days receivable is an indicator that highlights the ability of the firm to collect on the debts owed to it by the customers. For HP, the days receivable for last year was 62; for the year previous it was 61 and for the year before that it was 90.5. What this indicates is that for the past two years, HP has improved its days receivable considerably. Two years ago, it had a very high level of accounts receivable and over the course of the past two years...
This has helped the company's bottom line last year. While the new figure is much better than the one from two years ago, it remains relatively high and provides HP with an area in which it can improve its financial performance going forward.
Apple: Ratio and SWOT Analysis Financial Trend Comparison Ratio Category: Liquidity Ratios In basic terms, liquidity ratios demonstrate a company's ability to settle its obligations (short-term) if and when they fall due. To begin with, from the computations, it is clear that Apple's current ratio has consistently been less than the industry average. Hence for short-term creditors, this could be an issue of concern as the trend increases their risk. Further, a look
A specific industry-wide number has not been calculated. An industry ratio of debt-to-equity is 0.55, compared with 0.98 in the industry, which is favorable for HP. The ratio of long-term debt to total capitalization confirms what the raw data on the balance sheet says about HP's long-run escalation in debt. This ratio is currently 27.3%, compared with 25.6% in 2009, 16.5% in 2008, 11.5% in 2007 and 6.1% in
INVENTORY MANAGEMENTInventory Management: Apple Inc. and Hewlett Packard (HP) Inc.IntroductionFrom the onset, it would be prudent to note that the relevance of effective inventory management cannot be overstated. This is more so the case given that the ability of a business enterprise to satisfy customer needs is largely founded on the effective flow of the various products it offers for sale into and out of stock. For this reason, in
IBM Competitive Forces Competitive Forces Analysis There are a number of potential factors that increase the competitive rivalry for IBM and other competitors in the field when looking specifically at cloud computing. There are a wide variety of both large and small companies providing cloud services. In addition to major companies like Microsoft and AT&T, there are also new entrants like Amazon, Rackspace, Google, and Salesforce.com (Konstantinos et al., 2009). These new
Walmart Role of ethics and compliance Compliance and SEC Regulations Evaluation of financial performance Trend of ratios and financial health Wal-Mart Stores, Inc. (WMT) is an American publicly traded retail stores corporation. The operations of Wal-Mart are divided into three segments, namely the Wal-Mart International segment, Wal-Mart U.S., and the Sam's Club segment. Sam Walton was the founder of the company whereby Wal-Mart is the world's largest retail stores chain. Based in Bentonville, Arkansas, the
Wal-Mart's Annual Report: The role of ethics and compliance in a business can be described as the link between the business environment and the three levels of the organization or business. These levels are the macro level, which is the national or global context of the business, the institutional level that entails the ethics that characterize a company, and the individual level ie. personal ethics in an organization. In the
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