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Accounting: Ratio analysis.

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Find the financial statements for the two most recent years for a publicly traded company in the movie rental industry. Using these financial statements, calculate the following:

- Gross profit margin
- Operating profit margin
- Net profit margin
- ROI, ROA, ROE
- Debt-to-equity ratio
- Long-term debt to capital ratio
- Days of inventory
- Inventory turnover ratio
- Average collection period

Discuss whether this company"s financial performance improved, remained the same, or worsened during the time period you examined

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Solution Summary

The problem set deals with estimating ratios from provided information.

Solution provided by:
Chidi Ngene, M. Sc.
Education
  • B. Sc., University of Nigeria
  • M. Sc., London South Bank University
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