Identify the Industries 8-28-11 (11pm)

Identify the Industries 8-28-11 (11pm) - Identify the...

Info icon This preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
Identify the Industries Case Analysis
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Introduction: In this case analysis, “Identify the Industries”, the AUMBAS are to determine which of the 12 firms presented below belong to the common-sized balance sheets found in Exhibit 1. Financial statement dates are noted at the top of each column. The AUMBAS have to determine each business operation by examining ratios, common-sized statements, and the knowledge we have of these business operations in the marketplace. The 12 firms represented are: 1. Regional Bank 2. Temporary office personnel agency 3. For-Profit hospital chain 4. Warehouse club 5. Major passenger airline 6. Major regional utility company 7. Manufacturer of oral, personal, and household products 8. Hotel chain 9. Upscale department store 10. Discount department store 11. International oil company 12. Defense contractor The AUMBAS separated these industries into the following four categories: 1. Manufacturing a. Defense contractor
Image of page 2
b. Manufacturer of oral, personal, and household products 2. Merchandising a. Warehouse club b. Upscale department store c. Discount department store 3. Service a. Regional bank b. Temporary office personnel agency c. For-profit hospital chain d. Major passenger airline e. Hotel chain 4. Other a. Major regional utility company b. International oil company
Image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Manufacturing: Defense Contractor: (I) A Defense Contractor would have little to none Cash and Marketable Securities since most of their assets are in the service category. There would be no inventories at (1.8%), but the plant and equipment would be high at (81.9) due to the equipment being used. Preferred stock would be at high at (5.9), with a low common stock at (1.2). Due to the used equipment there would be low inventory turn (2.6). Due to the potential size of contracted jobs the receivable collection period would be over 30 days at (49%).
Image of page 4
Image of page 5
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern