代做ECOM211 Individual Report 2025-26代做留学生SQL语言程序

ECOM211 Individual Report 2025-26

(a)    Please calculate the following ratios for 2025 and 2024 from Tesco’s and Sainsbury’s financial statements provided in their 2025 annual report (i.e. pages 135-140 and pages 137-141, respectively). Please use the ratio formula sheet included in this  document. Please show clearly in your calculations which data/number from the statements you have used and state any assumptions you may make in your calculations.

i.     Return on capital employed

ii.     Gross profit margin

iii.     Operating profit margin

iv.     Current ratio

v.     Quick ratio

vi.     Gearing ratio

vii.     Interest cover ratio

viii.     Average inventories turnover period

ix.     Average settlement period for receivables

x.     Average settlement period for payables

xi.     Dividend yield ratio

xii.     p/e ratio based on a market price of £4.52/share and £3.28/share for Tesco and Sainsbury’s, respectively.

(36 marks)

(b)    Based on the ratios that you have calculated above, and any relevant information provided in the financial statements referred to in part (a), write a management report to each of the company’s board of directors commenting on the company’s operations for this financial year end compared to the previous year.

(32 marks)

(c)     Based on the ratios that you have calculated above, and any relevant information provided in the financial statements referred to in part (a), are there any significant differences or similarities between the two companies which you would highlight to a potential investor, supplier and/or lender?

(32 marks)

Notes: It is advised to form your answer based on the module material and ratio formulas provided. You are not required to do extensive online market research on the two companies or use ChatGPT. You may submit one file only (Word or PDF type) with your name and university student number indicated on the front page. Word limit 2500 words (excluding calculations).

RATIO FORMULAS:

Profitability Ratios

Return on capital employed (ROCE) (%) = operating profit divided by capital employed x100

*capital employed = share capital + reserves + non-current liabilities

*capital employed should be the year average if available for both comparison years – otherwise use period end

*operating profit = profit before interest and tax

Gross profit margin (%) = gross profit divided by sales revenue x 100.

Operating profit margin (%) = operating profit divided by sales revenue x 100.

Efficiency Ratios

Sales revenue to capital employed (£) = sales revenue divided by share capital + reserves + non-current liabilities

*capital employed should be the year average if available for both comparison years – otherwise use period end

Average inventories turnover period = inventory divided by cost of sales x 365

* inventory should be average if available for both comparison years – otherwise use period end.

Average settlement period for receivables = trade receivables divided by sales revenue* x 365

*or credit sales if known

* receivables should be average if available for both comparison years – otherwise use period end.

Average settlement period for payables = trade payables divided by cost of sales* x 365

*or credit purchases if known

* payables should be average if available for both comparison years – otherwise use period end.

Liquidity Ratios

Current ratio (:1)= current assets divided by current liabilities

Quick or acid test ratio (:1) = current assets less inventory divided by current liabilities

Gearing Ratios

Gearing ratio (%) = non-current liabilities divided by share capital + reserves + non-current liabilities x 100.

Interest cover ratio (times) = operating profit divided by interest payable

Investment Ratios

Earnings per share = earnings available to ordinary shareholders divided by number of ordinary shares in issue

Price / earnings ratio (times) = market value per share divided by earnings per share

Dividend yield ratio (%) = dividends per share divided by market value per share x 100

Dividend cover (times) = earnings for the year divided by dividend for the year