Overview
- Calculate their receivables turnover ratio for the 2 most recent years and compare it to the industry average.
- Calculate their average collection period for the most recent 2 years and briefly explain the trending.
- Calculate their inventory turnover ratio for the 2 most recent years and compare it to the industry average.
- Calculate their average days in inventory for the most recent 2 years and briefly explain the trending.
- Calculate their fixed asset turnover ratio for the past year and compare it to the industry average.
- How much did they spend on R&D costs during the most recent year, and what was the percentage of increase (decrease) from prior year?
- In reviewing the footnotes, what method of depreciation do they use in their financial statements, and what is their typical useful life for buildings?
- How about acquired intangible assets with definite useful lives? Over what timeframe do they amortize them?
- How much is goodwill, and what's the information about that?
- How much goodwill impairment did they recognize in their financials, and how did it compare to the prior year?
Based on the above analysis, briefly explain whether you would recommend investing in your company and support your conclusion.Please use the link to cacluate it.