1. For each financial measure, prepare a comparison across historical years and to your industry...

Question

1. For each financial measure, prepare a comparison across historical years and to your industry standards and financial norms. Discuss in your comparison what the ratio tells an analyst in general terms and reflects about your specific company. Based on your company’s ratios, describe any actions that could be taken to address improved performance, if warranted.

The Expert that solved order number 37393(my previous order) should handle this because it is a continuation. The Analysis should be about the Ratios only.

Two pages in microsoftword. Not excel

Thanks

Preeta · Accepted Answer

GROSS PROFIT MARGIN:
	2016
	2017
	2018
	Industry norms 2018
	40.4%
	36.5%
	35.0%
	17.73%
Gross profit margin establishes a relation between sales and the cost of goods sold that is the cost incurred to make the sale. Gross profit of twenty first century fox inc, is higher than the industry norm, which reveals that the company is financially sound.
OPERATING PROFIT MARGIN:
	2016
	2017
	2018
	Industry norms 2018
	12.4%
	13.5%
	2.3%
	20.15%
This ratio shows if the company is earning enough profit to survive. The net profit of the company is way lower than the industry norm. Its gross profit margin is very high but operating margin is low. This means that the operating cost of the company is very high. Mainly in the year 2018, there has been a sharp rise in operating cost. So, it needs to reduce the operating cost to earn enough profit and survive in the long run.
EARNING PER SHARE:
	2016
	2017
	2018
	Industry norms 2018
	0.19
	0.25
	0.04
	6.09
This ratio actually measures the net income earned on per share basis. The EPS of the company is much lower than the industry norm. So, it should try to improve it.
EFFECTIVE TAX RATE:
	2016
	2017
	2018
	Industry norms 2018
	19.4%
	26.9%
	64.1%
	20.4 %
This ratio reveals the income tax expense with reference to its income pretax. The ratio is higher than the industry norms. So, the company needs to control it. 
ASSET TURNOVER RATIO:
	2016
	2017
	2018
	Industry norms 2018
	0.6
	0.6
	0.6
	0.4
This ratio refers to how efficiently the company is using the assets. The ratio is better than the industry norms.
ACCOUNTS RECEIVABLE TURNOVER:
	2016
	2017
	2018
	Industry norms 2018
	4.4
	4.4
	4.4
	9.

1. For each financial measure, prepare a comparison across historical years and to your industry standards and financial norms. Discuss in your comparison what the ratio tells an analyst in general...

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