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Nterpret the Findings in Order to Monitor the Current Position of Domestic Dogs Essay

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Below is an essay on "Nterpret the Findings in Order to Monitor the Current Position of Domestic Dogs" from Anti Essays, your source for research papers, essays, and term paper examples.

M3 – INTERPRET THE FINDINGS IN ORDER TO MONITOR THE CURRENT POSITION OF DOMESTIC DOGS
Ladbroke grove dogs home | 2011 | 2010 |
Current assets | 6,945 | 6,245 |
Current liability | 3,750 | 3,680 |
Current ratio | 1.85 | 1.69 |
Introduction: in this task, I will be interpreted the finding in order to monitor the current position of Domestic Dogs
Liquidity ratio

As you can see in the table above, the current assets of Ladbroke Grove Dogs Home are 1.85 times the value of the current liabilities in 2011. The ratio is more than the 1.69 times at the year 2010 which is suggesting that the current ratio has considerable improved. It also means that the business has enough money to be able to pay his debts and also uses his assets well in the most efficient way.        
Ladbroke grove dogs home | 2011 | 2010 |
Current assets | 6,945 | 6,245 |
Current liability | 3,750 | 3,680 |
Acid test ratio | 1.49 | 1.29 |

In this table above, we can say that the acid test ratio is over 1.0 which is worthy for the business (Ladbroke Grove Dogs home); they are well-placed to be able to pay their debts even if it cannot change inventories into cash.

Profitability ratio
Profitability ratio shows the business efficiency and their performance. The gross profit margin of Ladbroke grove Dogs home in 2010 is 35.89% and in 2011 is 37.23% which means that the business is inconsistently control its production costs because it’s low. It means that the business makes a low level of income to pay for the operating expenses and the net profit. It also shows that the business is unable to control his production and his stock costs.
The net profit margin of the business in 2010 is 10.57 and 11.37 in 2011. We can see that the net profit margin is low which means that the business is not making enough sales and the gross profit margin is low which can lead the business without profit. A decrease in the net profit margin ratio may indicate cost blowouts that require...

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Nterpret the Findings in Order to Monitor the Current Position of Domestic Dogs. Anti Essays. Retrieved October 22, 2018, from the World Wide Web: https://www.antiessays.com/free-essays/Nterpret-The-Findings-In-Order-To-576361.html