Business Finance Homework Help

I have attached two pictures for this problem. If you click the file Assignment12 it will take you to the problem where you will see how many parts are on this question. Most are ratios. The picture called Assignent1 will show the balance sheets and income statement information.

Carson Electronics’ management has long viewed BGT Electronics as an industry leader and uses this firm as a model firm for analyzing its own performance. The balance sheets and income statements for the two firms are found here:

a. Calculate the following ratios for both Carson and BGT:

Current ratio Times interest earned Inventory turnover Total asset turnover Operating profit margin

Operating return on assets Debt ratio Average collection period Fixed asset turnover Return on equity

b. Analyze the differences you observe between the two firms. Comment on what you view as weaknesses in the performance of Carson as compared to BGT that Carson’s management might focus on to improve its operations.

a. Calculate the following ratios for both Carson and BGT:

Carson’s current ratio is ___. (Round to two decimal places.)