Riordan Financial Analysis

Industry AnalysisRiordan Manufacturing has a reputation for producing different forms of packaging containers. The sedulousness which Riordan is set with is a very competitive one. In analyse the in large quantities production of different companies the median of the 41 companies surveyed produces results which will foster Riordan continue to be a study competitor in the troupe?s chosen field. 3 points were reviewed when doing this perseverance abbreviation, received symmetry, buckle under on assets, and compendium catch. The results of the analysis get to been primed(p) on a bar map to show where Riordan move on the median scale. Current RatioThe circulating(prenominal) ratio shows that Riordan during the old age of 2003 and 2004 fell below the industry average by .06 and .07 respectively. This shows a decrease in the ratio of assets to liabilities. A decrease in assets and an increase in liabilities would read further investigation as to the issue creating the problem so proper steps derriere be taken to ferment this course of study around. Return on AssetsThe return on assets analysis showed a difference of .88 and 3.34 division when compared to the industry average oer the same two socio-economic class period. Riordan?s numbers were high than the national average for the return on assets. This is a trend which the company should continue to try for in order to stick by competitive. Collection PeriodFinally, when reviewing the collection period for Riordan and the industry average Riordan showed 1.9 old age less clock time for collection in 2003 that increased the collection period for accounts due by 12 days in 2004 when compared to the industry median. This event can have serious consequences on the company bills flow. The area of collections should be investigated in order to shorten the time frame for collections of receivables and provide the company with a better specie flow. ReviewWhen considering... If you want to! get a full essay, order it on our website: OrderCustomPaper.com

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