Bx Financial Analysis

Massachusetts Stove Company return on Common equity ratio has fluctuated from 224% in year 3 all the way 32.6% in year 7. This change occurred because of the companies change in capital structure leverage. The reduction in the company's long-term debt and reduction in their deficit of retained earnings reduced their capital leverage, but this does not mean they are less profitable. Massachusetts Stove Company maintained a stable profit margin for ROCE from year 3 to year 7 and still saw increases in their net income. Over the past five years, the company has strategically crafted a niche market that is difficult for competitors to enter.

By the fourth quarter of 2007, Freddie Mac reported a $2 billion loss. In response, the agency raised $6 billion in new capital through the sale of preferred stock to shore up its reserves. However, this was not enough. Nevertheless, They Did not Cause the Mortgage Crisis Fannie Mae and Freddie Mac did not cause the subprime mortgage crisis.

Financially speaking, Home Depot has an advantage over Lowe’s in most of the applicable metrics. Lowe’s does possess low debt to equity ratio and is not highly debt leveraged so this gives the company the ability to improve and make strategic decisions based on the needs of their customers. Over the last three year average the companies are both growing at a similar rate in revenue and earnings. Both companies must make the correct strategic decisions in the coming years to adjust and maintain their position and grow their advantages over the competition over time while minimizing their own

Anheuser-Busch InBev (BUD) is an internationally recognized brewing company that produces beers and soft drinks. It is a public company located in Belgium. BUD was created when Interbrew, AmBev, and Anheuser-Busch had merged in 2008. It is the largest brewing company in the world with almost a quarter of the global brewing industry share. The closing price of BUD was 128.27 on April 24, 2016.

= 0.087 The debt to equity ratio of Dollarama Inc. for the year of 2013 is 0.087. The debt to equity ratio is lower than one which means that the debt is less than the owner’s equity. The business is geared in the positive direction. The risk factor of the external lenders and investors of the company is less. Dollarama has a strong financial interest in the business than other external lenders.

This creates shareholder value by allowing the return to be stimulated by the assets and equity of the company. The return on the assets and equity of the company can be directly correlated with operational efficiency, return on investments, and overall optimal business decisions. SNC was able to continually create value in each of the three phases through pre and post strategic financial analysis that enabled leadership to make beneficial decisions. Leadership learned that although there are many decisions to make within the short term, a vision of long-term sustainable growth is critical to the success of a business. If management had the ability to redo the three phases, a similar approach would be taken.

Ratio Analysis: Liquidity Analyzing liquidity ratios determines whether or not a corporation has enough assets to cover it’s short term liabilities. Although Gemini Electronics’ current ratio is below industry average, in general, a company a 2:1 ratio of assets to liabilities indicates that a company is in good standing to pay off it’s short term liabilities. Although this is the general rule of thumb, we need to analyze what comprises Gemini Electronics’ current assets portfolio. Upon analyzing, we can see that: • Out of the total $1,267,311,420 of current assets in 2009, approximately 50% of it was tied into inventory accounts • Out of the total $3,162,140,833 current assets in 2008, approximately 51% of it was tied into inventory account

It is calculated by dividing the cost of goods sold by the average inventory. Average inventory is calculated by adding the beginning and ending inventory for Tootsie Roll Industries and dividing the sum by two. Inventory Turnover = Cost of Goods Sold Average Inventory =

However, the advantages of group risk cover are best displayed in large companies, while small companies often cannot afford this cover. Due to the limited protection offered by group risk cover, employees may prefer individual insurance or may be disinclined to seek employment elsewhere for fear of losing their current

With their production facilities being located in the US the stability of the dollar can have an impact on the corporation in multiple ways. Weak dollar can decrease assets and ability to acquiring credit. Sales can be less profitable in foreign markets in comparison to foreign currency. T2 Intense competition

This is a good sign for Big 5 because it means that they are taking less time to pay their suppliers and pay off other accounts

Moreover, the historically low level of interest rates may have been due, in part, to large accumulations of savings in some emerging market economies, which acted to depress interest rates globally (Bernanke 2005). Others point to the growth of the market for mortgage-backed securities as contributing to the increase in borrowing. Historically, it was difficult for borrowers to obtain mortgages if they were perceived as a poor credit risk, perhaps because of a below-average credit history or the inability to provide a large down payment. But during the early and mid-2000s high-risk mortgages were offered by lenders who repackaged these loans into