Explore BrainMass
Share

# Ethics, compliance, and ratios analysis - Wal-Mart

This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

Evaluate your selected organization's financial performance over the past two years using financial rations. Calculate the following rations for each year:

1. Current
2. Debt
3. ROE (return on equity)
4. Days receivables

Discuss the trend for each ratio and what it tells you about the organization's financial health.

Organization is Wal-Mart and the years working with are 2008 and 2009.

>> See attached PDF's for complete details! <<

#### Solution Preview

Walmart's financial ratios for 2008 and 2009.
1. current ratio (2008) = = = 0.82
(2009) = = = 0.88
The current ratio increases, meaning that Walmart's current assets rise faster than its short-term debts. That is, Walmart borrows less in proportion to its current assets in 2009.

2. Debt ratio (2008) = = = 60.49%
(2009) = = = 60.05%

Walmart's debt ratio slightly decreases, which reflects the increase of ...

#### Solution Summary

This solution is comprised of detailed explanation and step-by-step calculations to these questions:

Evaluate your selected organization's financial performance over the past two years using financial rations. Calculate the following rations for each year:

1. Current
2. Debt
3. ROE (return on equity)
4. Days receivables

Discuss the trend for each ratio and what it tells you about the organization's financial health.

Organization is Wal-Mart and the years working with are 2008 and 2009.

\$2.19