Question 2. Below are the operating income on sales ratios for three international companies: Year Company A Company B Company C 2014 4 4 4 2015 5 6 7 2016 8 7 7 2017 5 8 8 2018 4 8 9 Required: Which company is more profitably over the years? Measure the stability of this ratio? Advise the investor on which company he should invest in?
Question 2. Below are the operating income on sales ratios for three international companies: Year Company A Company B Company C 2014 4 4 4 2015 5 6 7 2016 8 7 7 2017 5 8 8 2018 4 8 9 Required: Which company is more profitably over the years? Measure the stability of this ratio? Advise the investor on which company he should invest in?
Fundamentals Of Financial Management, Concise Edition (mindtap Course List)
10th Edition
ISBN:9781337902571
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter9: Stocks And Their Valuation
Section: Chapter Questions
Problem 3TCL
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Question 2. Below are the operating income on sales ratios for three international companies:
Year |
Company A |
Company B |
Company C |
2014 |
4 |
4 |
4 |
2015 |
5 |
6 |
7 |
2016 |
8 |
7 |
7 |
2017 |
5 |
8 |
8 |
2018 |
4 |
8 |
9 |
Required:
- Which company is more profitably over the years?
- Measure the stability of this ratio?
- Advise the investor on which company he should invest in?
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