Answer Happy

If you are a CEO of Martin Manufacturing with the information below, how would you improve your performance? Be concise. (1 point) Ratio Historical Ratios Martin Manufacturing Company Actual Actual Actual Industry 2010 2011 2012 Average in 2012 1.7 1.8 2.5 1.5 1.0 0.9 1.3 1.2 5.2 5.0 5.3 10.2 50.7 55.8 58.0 46.0 Current ratio Quick ratio Inventory turnover (times) Average collection period (days) Total asset turnover (times) Debt ratio Times interest earned Gross profit margin Net profit margin Return on total assets Return on equity Price/earnings ratio Market/book 1.5 45.8% 2.2 27.5% 1.1% 1.7% 3.1% 33.5 1.0 1.5 54.3% 1.9 28.0% 1.0% 1.5% 3.3% 38.7 1.1 1.6 57% 1.6 27.0% 0.71% 1.2% 2.7% 34.48 0.89 2.0 24.5% 2.5 26.0% 1.2% 2.4% 3.2% 43.4 1.2