Calculating Basic Accounting Ratios
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Choose three companies. Select a company from each of the following three sectors: Manufacturing, Service, and Retail Sales. One company must be foreign. Compute the quick and current liquidity ratios, and the dupont ratio for the three companies.
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Solution Summary
Calculating the basic ratios (Current, Quick (Acid), Du Pont) for three large companies is determined.
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Quick Ratio: (Also called Acid test) (Current Assets-Inventory)/Current Liabilities
Current Ratio: ...
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