Based on the historical company financial information and business description is given below answer the following: (a) Identify three key ratios you would use as a guide (and why) to help you determine which business you would prefer to invest in?(b) What further information might you consider or need before making a final investment decision? Čompany BNufarm Limited (NUF) is a crop protection and specialist seeds companies. NUF product helps farmers toprotect their crops (predominately grains, oilseeds, cotton and sugarcane) against damage caused by weeds,pests and disease. Nufarm has manufacturing and marketing operations throughout Australia, New Zealand,Asia, the Americas and Europe and sells products in more Results By Industrythan 100 countries. The company also operates a seedsbusiness focused on canola, sorghum and sunflower seeds.Revenue B/DownROACrop Protection94.467.0%Seed Technologies5.6%8.0%Crop Protection Products : The crop protection businessdeals in the manufacture and sale of crop protectionproducts used by farmers to protect crops from damage Results By Geographycaused by weeds, pests and diseases. The crop protectionproducts consist of herbicides, insecticides, glyphosate, Australia and New Zealandand fungicides. NUF operates this business throughout EuropeAustralia, New Zealand, Asia, Europe, Africa and the Latin America100%7.1%Revenue B/DownROA17.8%1.3%19.4%4.9%26.8%10.5%Americas.North America25.2%11.6%Other10.89%10.6%Seed Technologies : The seed technologies business dealsin the sale of seeds and seed treatment chemistry focusedon canola, sorghum and sunflower crops.100%7.1%Company Historicals|($M = $AUD million)Company ACompany B%3DIncome ($m)4473793643,1113,3083,757Depreciation ($m)Net Profit ($m)-19-17.4-12-38.6-38.2-3871.6-102.6-148.4103.2-15.638.3EBIT ($m)116.5-53-148.1296257217Long term debt ($m)3623533644781,1481,257Equity ($m)1,0179778431,3511,9712,404Interest Cover5.77-3.04-9.393.182.392.03Debt/Equity (%)3636.543.457.18572.9Return on Capital (%)-1-811114Return on Equity (%)7-2.8-12.19.812.92.8Current Balance SheetCash Assets ($m)43118.235302506Receivables ($m)1421191,0041,1761,337Inventory ($m)29352057631,1801,228Others ($m)2712604955176Total Current Assets ($m)3573272322,0512,7133,246Account Payable ($m)3128308261,1311,221Debt Due ($m)432437527495Others ($m)10412525355Total Current Liabilities ($m)4534431,3161,7111,772 Company AAustralian Agricultural Company Limited (AAC) is an Australian beef company with a heritage dating back to1824. The Company is Australia's largest integrated cattle and beef producer and is the oldest continuouslyoperating company in Australia.Cattle, Breeding & Genetics: AAC owns and operatescattle herd with around 400,000 head spread over theirResults By Industryproperties across Queensland and the NorthernTerritory. They specialise in grain fed beef and Wagyubeef production. AAC's innovation team works closelywith bull breeding units to run breeding programs.They use a range of tools to ensure important traits areevaluated with the highest accuracy possible under ourproduction systems. They employ technologiesincluding performance recording and evaluation, TotalGenetic Resource Management (TGRM), feed Australiaefficiency testing, walk-over weighing technologies andRevenue B/DownAACO EX LIVINGSTONE100.0%LIVINGSTONE BEEF0.0%100%Results By GeographyRevenue B/Down100.0%100%genomics.Properties: AAC owns and operates a strategic balance of properties, feedlots and farms, comprising aroundillion hectares of land in Queensland and the Northern Territory. Each property has a strategic positionin the supply chain, in breeding and growing, background or finishing cattle or growing grains and foddercrops to support cattle production.Livingstone Beef: AAC's Livingstone Beef processing facility is located in the Livingstone Valley, approximately50 kilometers south of Darwin in the Northern Territory. The facility produces export beef, hides andrendered products.

Financial ratios: These are the values that are taken from the company’s financial statements to…

Based on the historical company financial information and business description is given below answer the following: (a) Identify three key ratios you would use as a guide (and why) to help you determine which business you would prefer to invest in? (b) What further information might you consider or need before making a final investment decision?

Based on the historical company financial information and business description is given below answer the following: (a) Identify three key ratios you would use as a guide (and why) to help you determine which business you would prefer to invest in? (b) What further information might you consider or need before making a final investment decision?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter10: Decentralization: Responsibility Accounting, Performance Evaluation, And Transfer Pricing

Section: Chapter Questions

Problem 15E: Mossfort, Inc., has a division in Canada that makes long-lasting exterior wood stain. Mossfort has...

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