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In FA we usually analyze recent year with the prior one and evaluate companys performance on the basis
of the three statements. Three statements include balance sheet, Income statement and Cash flow
statement. In this case we only have balance sheet and income statement.
Return on Assets
This ratio basically represents the after tax return on the total investment (assets) of the firm. This will
explain that the firms value per dollar. In fiscal year 2013 ROA is 2.6 percent and in fiscal year 2012
ROA was 8.9 percent which explains that firm is recently closed its some of the outlets internationally
and domestically. 6.3 percent decrease in return on total assets.
Quick Ratio
This ratio is to analyze the firms ability to meet the short term obligations other than its inventory in the
current assets. In 2013 QR is 50 percent and it was 51.5 percent in 2012. Which means that firms
inventory is big block as they were unable to sell it off effectively.
Inventory Turnover
Inventory turnover is basically to analyze how quickly a firm can convert its inventory into cash. In 2013
after shutting its some of the outlets firm managed the funds and improved its inventory turnover by 2
percent.