measured by operating expense ratio and high capital efficiency by net working capital ratio.
Among three other competitors, the most interesting international competitor to compare the financial performance was H&M. ROIC for H&M and Inditex are similar, 24.16% and 27.27% accordingly. Differential of both ROS and capital turnover for two companies are minimal: for ROS, 9.60% and 10.46%; and for
similar ratio around 3, but GAP has always higher sales generated per $1 of Current Assets than Abercrombie.
Calculation
Sales / Accounts Receivable
Abercrombie 2006 2007 2008
3,318,158 / 43,240 3,749,847 / 53,801 3,540,276 / 53,110
76.73815 69.69846 66.65931
GAP 2006 2007 2008
NOTE : There is no accounts receivable.
Abercrombie’s ratio has decreased continuously since 2006.
A-2 EBIT
① Trend
EBIT is a measure of a company’s profitability which leaves out interest and taxes.[17] The following is the way how to find the EBIT.
EBIT=Operating Revenue-Operating Expense+Non operating Income
PepsiCo has consistent growth of EBIT for 10 years except for 2000 & 2008. Both two cases decreased in EBIT without the decrease in Revenue. In 2008, Bottling equity inc
similar to other leaders in the degree to which you act participatively.
Path-Goal Leadership Questionnaire
INSTRUCTIONS: This questionnaire contains questions about different styles of path-goal leadership. Indicate how often each statement is true of your own behavior.
Key: 1 = Never 5 = Often
2 = Hardly ever 6 = Usually
3 = Seldom 7 = Always
4 = Occasionally
_____1. I
To get the monthly returns for HP for the last 60 months, we downloaded the data from Oct.2005-Oct.2010. 61 data of ending monthly stock prices were needed to calculate the monthly returns for the last 60 months. In order to get the monthly returns, we used the capital gains yield formula (Pt+1-Pt)/Pt*100. The adj close prices(close price adjusted for dividends ) were used to get a more accurate