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Report to Board of Directors for the substantial investments

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Added on  2023-01-13

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This report provides a detailed analysis of liquidity ratios, profitability ratios, efficiency ratios, and investor ratios for two companies. It also includes recommendations for investment based on the findings.

Report to Board of Directors for the substantial investments

   Added on 2023-01-13

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REPORT
Report to Board of Directors for the substantial investments_1
TABLE OF CONTENTS
Report to Board of Directors for the substantial investments..........................................................1
(a) Liquidity ratios...........................................................................................................................4
(B) Profitability of Companies.........................................................................................................4
© Efficiency ratio............................................................................................................................5
(d) Investor ratio..............................................................................................................................5
REFERENCES................................................................................................................................7
Report to Board of Directors for the substantial investments_2
Report to Board of Directors for the substantial investments.
RATIO ANALYSIS
Particulars Formula Alpha Beta
Profitability Ratios
Return on
capital
employed
Net operating
profit/Employe
d Capital 15.14% 14.18%
Employed
Capital
Total assets
Current
liabilities
(147000+1149
50)-53950 208000
(206000+1222
20)-127220 201000
Net operating
profit 31500 28500
Return on
Equity
Net Income /
Shareholder's
Equity 7.40% 12.44%
Net Income 11500 25000
Shareholder's
Equity 155500 201000
Gross profit
margin
Total Sales
COGS/Total
Sales 20.00% 25.00%
1
Report to Board of Directors for the substantial investments_3

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