Reeds Ratios compared with industry standards
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Calculate a few ratios and compare Reed's results with industry averages. What do these ratios indicate?
Liquidity Ratios Industry
Current ration 2.7
Quick ratio 1.6
Receivables turnover 7.7
Average collection period 47.4
Efficiency Ratios
Total asset turnover 1.9
Inventory turnover 7.0
Payable turnover 15.1
Profitability Ratios
Gross profit margin 33.0
Net profit margin 7.8
Return on common equity 25.9
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Solution Summary
Reed ratios compared with industry standards are examined.
Education
- Chartered Accountant (Equivalent to CPA in US), Institute of Charted Accountants of India
- Bachelor of Commerce, West Bengal University
Recent Feedback
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