Accounting project(1)

Accounting project(1) - sold / Net sales) × 100 Tootsie is...

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Tootsie Hershey 0.94 0.96 current ratio 3.45 0.88 Gross Profit rate 33.50 32.98 0.10 0.04 5.40 5.31 67.59 68.76 Earnings per  share profit margin  ratio Inventory  turnover ratio Days in  Inventory
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Formula Profit margin = Net income/Sales days in inventory=365/inventory turnover Interpretaion and  Comparison  betweent he two  companies Ration EPS=net income/number of outstanding  shares Tootsie is looking much  better because they are  earning 4 cents more  pers share than Hershey current ratio=current assets/current  liabilities The current ratio of  Tootsie is much better  than Hershey as well with  them having 2.5 percent  ration better in their  assets vs their liabilities Gross Profit Ratio = (netsales-cost of goods
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Unformatted text preview: sold / Net sales) × 100 Tootsie is slightly better by .52 percent showing that they are having higher sales than Hershey. The profit margin of Tootsie is .06 better than Hershey, showing that they are making slightly larger profits. Inventory Turnover Ratio = cost of goods sold / average inventory The Inventory turnover is slight higher for Toostie by 0.19 showing that they are making better sales. The amount of days that inventory stores is better for Tootsie than Hershey, showing that they are keeping their inventory for a less amount of time due to higher sales....
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This note was uploaded on 03/22/2011 for the course ACCT 581 taught by Professor Dontknow during the Spring '11 term at University of Phoenix.

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Accounting project(1) - sold / Net sales) × 100 Tootsie is...

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