please anwer all the questions i have mentioned below : - A company has the following items for the fiscal year 2020: Cash = 2 million Marketable securities = 3 million Account receivables (A/R) = 1.5 million Inventories = 8.5 million Total current liabilities = 8 million Calculate the company’s current ratio and quick ratio 2. Write the formula for the following ratios and what each ratio measures: Asset turnover Inventory Turnover and Days Inventory Receivable Collection Period 3. Write down the DuPont framework. How would you explain to your non-MBA non-Finance friend about the      DuPont framework and why it is important?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter3: Evaluation Of Financial Performance
Section: Chapter Questions
Problem 8P
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please anwer all the questions i have mentioned below : -

  1. A company has the following items for the fiscal year 2020:
  • Cash = 2 million
  • Marketable securities = 3 million
  • Account receivables (A/R) = 1.5 million
  • Inventories = 8.5 million
  • Total current liabilities = 8 million

Calculate the company’s current ratio and quick ratio

2. Write the formula for the following ratios and what each ratio measures:

  • Asset turnover
  • Inventory Turnover and Days Inventory
  • Receivable Collection Period

3. Write down the DuPont framework. How would you explain to your non-MBA non-Finance friend about the      DuPont framework and why it is important? 

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