Corporate Finace 8 edition please help Find the most recent Annual reports for w

ID: 2636971 • Letter: C

Question

Corporate Finace 8 edition please help

Find the most recent Annual reports for wall-mart .com and boeing.com. Using the annual numbers please calculate 6 asset utilizations for these two companies.

1.Inventory =cost of goods sold/ Inventory

2. Days Sales in inventory= 365 days/ Inventory turn over

3. Receivable turnover= sales/ Accounts receivable

4. Day's sales in receivables= 365days/ receivables turnover

5. Total Assets turnover=sales/total assets

6. Capital Intensity= total assets/sales

Explanation / Answer

Inventory and receivable are current assets. These are the parts of total assets.

Heads

Company W.M

Company B

Inventory turnover (Cost of goods sold / Average inventory)

$165,670 / $8,002 = 20.70

$293,745 / $7,897 = 37.19

Days sales in inventory (365 / Inventory turnover)

365 / 20.70 = 17.63 days

365 / 37.19 = 9.81 days

Receivable turnover (Sales / receivable)

$210,532 / $150,324 = 1.40

$325,289 / $100,671 = 3.23

Days sales in receivable (365 / Receivable turnover)

365 / 1.40 = 260 days

365 / 3.23 = 113 days

Assets turnover (Sales / Total assets)

$210,532 / $549,333 = 0.38

$325,289 / $678,919 = 0.47

Capital intensity (Total assets / Sales)

$549,333 / $210,532 = 2.60

$678,919 / $325,289 = 2.08

Average inventory is the aggregate of opening and closing inventory by dividing 2.