Question
Asked by:
$25.00 Fin/200 General Motors Final
Q:I need the following financial problems worked out for General Motors 2007/2008 financial reports. I would need it by Saturday 14th.
- Compute the eight ratios listed below for two consecutive years. Discuss their
significance for management and compare them to industry averages.
- Current Ratio
- Quick Ratio
- Inventory Turnover Ratio (Note: on the Dunn and Bradstreet Web site this ratio is labeled Sales to Inventory)
- Debt Ratio (Note: on the Dunn and Bradstreet Web site this ratio is labeled Total Liabilities to Net Worth)
- Net Profit Margin Ratio (Note: on the Dunn and Bradstreet Web site this ratio is labeled Return on Sales)
- ROI (Note: on the Dunn and Bradstreet Web site this ratio is labeled Return on Assets)
- ROE (Note: on the Dunn and Bradstreet Web site this ratio is labeled Return on Net)
- Price-to-Earnings Ratio (P/E) Ratio
- Analyze the company's working capital management. Explain why the company's
operating and cash cycles are currently optimized. If you think they are not optimized,
explain why.
- Based on the company's financial statements, list the long-term debt held by the
corporation, maturity dates and yield to maturity. List the types of stock issued by the
company, the stocks' current selling price, and the 52-week average selling price.
- Compute the weighted average cost of capital (WACC) for both years and discuss your findings.
- Write a brief analysis that summarizes the data you've gathered throughout the
weeks and evaluates how your company compares to industry averages.
