Comparison Analysis_Bryanna Olson

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School

Southern New Hampshire University *

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Course

320

Subject

Finance

Date

Feb 20, 2024

Type

docx

Pages

1

Uploaded by CoachTree3428

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After looking at Disney’s most recent fiscal quarter, I have found that their current ratio (current assets/current liabilities) is 1.068711483. Their working capital (current assets-current liabilities) is $1,940,000. The debt ratio (total liabilities/total assets) is 0.521010094 and the earning per share (net income/weighted average common shares outstanding) is $1.23. I wasn’t able to find the share price for the last fiscal quarter, so I was unable to find the price earnings ratio. The results from looking at the same fiscal quarter a year prior are slightly different. The current ratio was 1.023384575. The working capital was $718,000,000. He debt ratio was 0.546733048 and the earnings per share was $0.80. Just as with the current fiscal quarter, I was unable to find the share price for the same fiscal quarter a year prior, so I was unable to calculate the price earnings ratio. The results show the business is financially healthy because the debt ratio has gone down in the last fiscal year. The difference between the last fiscal quarter is the previous year to the last fiscal quarter in this year is 0.025722954. The causes of the financial success might be the net income. The net income has gone up between the quarters substantially. No other information is needed to determine the businesses financial success. Short-term financing sources could help the business raise funds needed to improve its financial health by raising the amount of money they have. While taking a working capital loan will increase their debt and liabilities, it will also allow them to have more money in order to run the business and cover day-to-day operating expenses. A working capital loan will allow them to pay their workers and pay for other expenses without using their revenue.
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