Comparison of Medtronic's Financial Statements to Baxter's Financial Statements

recalls related to product quality problems. Observers felt the company would have lost even more

1. SciTronics held $133000 of current assets at year-end 2008 and owed $48000 to creditors, due to be paid within one year. SciTronics’ current ratio was 2.77, a decrease from the ratio of 3.90 at year-end 2005.

6. What is your appraisal of Blue Nile’s financial performance based on the data in

To analyze firm performance we are going to focus in no four key areas: financial, position, profitability, market performance, and organizational health. To identify position for a public company we are going to use the total debt/equity metric. The company has a debt/equity of 40.4 which is more than First American Financial at 21.72. From a profitability standpoint we will focus on the net profit margin ROE, and relative return on assets. Fidelity’s net profit margin at twelve months is trailing at 8.73% trending above First American Financial, one of its direct competitors at 5.66%, which puts them in the top 3 companies in its industry. (“Yahoo” 2015). When looking at the return on assets they are slightly ahead of First American Financial with a 4.92% versus their 3.84%. As we take a look at ROE we see that Fidelity did just a bit better than FAF with 11.48%. We can conclude that Fidelity fared well on profitability. Comparing First American Financial to Fidelity in regards to market performance fidelity is trending up with a 1.26% change, while FAF is on a downtrend of 1.68%. Lastly, we look at organizational health. Employees have ranked Fidelity at 3.7 out of 5 stars, which put them at a good grade in this category (“Glassdoor” 2015).

Stable cash flows with estimated total revenues increasing from 559.9 million in 1978 to 937.8 million in 1984 (Note also its strong intellectual property as shown by its

First of which, is the current ratio. It has been rapidly declining since 2000. To me this indicates that there is a liquidity issue. Each year their trade debt increase exceeds the increase of net income for the company. As a result, the working capital has taken a nosedive from $58,650 in 2002 to only $5,466 in 2003.

1. SciTronics held $133,000 of current assets at year-end 2008 and owed $48,000 to creditors due to be paid within one year. Its current ratio was 2.77 (133000/48000), a decrease from the ratio of 3.90 (82000/21000) at year-end

Increase in current liabilities Substantial increase in current liabilities weakened the company’s liquidity position. Its current liabilities were US$2,063.94 million at the end of FY2010, a 48.09% increase compared to the previous year. However, its current assets recorded a marginal increase of 25.07% - from US$1,770.02 million at the end of FY2009 to US$2,213.72 million at the end of FY2010. Following this, the company’s current ratio declined from 1.27 at the end of the FY2009 to 1.07 at the end of FY2010. A lower current ratio indicates that the company is in a weak financial position, and it may find it difficult to meet its day-to-day obligations.

Normal compared in the industry, second highest return on equity of the four suppliers. E-drive has the best quick ratio with 1.04.

We are the sales teams for Stryker Performance Solutions. Recently, we released our new Practice Excellence Program. Our new program is a service that helps physicians nationwide specializing in orthopaedics drive profitability, efficiency and quality outcomes. The program starts with a comprehensive financial and operational analysis and report of the health of the physician practice to determine areas for improvement, then develops a specialized plan inclusive of three separate value tracks that are prioritized and scalable depending on the organization's greatest need. There are three key parts to the program- Revenue Cycle Management, Practice Design, and Ongoing Data Analysis. We believe that our program can help physicians,

Return on Total Assets was 4.43% which is below five percent. That indicates that the company is not accurately converting its assets into profit. The total for Return on Stockholders’ Equity was 8.89%, however financial analysts prefer ROE to range between 15-20 %. The company’s low ROE indicates that the company is not generating profit with new investments. Lastly, Debt-to-Equity ratio for the company was 1.01 which indicates that investors and creditors are equally sharing assets. In the view of creditors, they see a high ratio as a risk factor because it can indicate that investors are not investing due to the company’s overall performance. The totals of these three ratios demonstrate that the company’s financial state is not as healthy as it should be.

Profit growth has on average exceeded stated goals from 1997-2003, averaging on 33 %. Transaction value, an indicator of the activity level, has grown notably less than profits (207 % vs. 289 % over six years), indicating profitable growth. This contrasts with the general squeeze on profitability and growth for the industry. International operations have not performed well. Transaction value has grown more than 50 % from 2001-2003, while profits have declined 65 %.

Debt-to Asset Ratio indicates that 48% of AMT's assets money comes from creditors (1985). In addition, the low current ration implies lack of liquidity (1.78 for 1986). Therefore, the company needs to rely heavily on outside financing to meet maturing obligations since there is no operating income.

Using a six-point scale where 6=excellent and 1=poor, how would you rate the overall effectiveness of Allegion’s investor relations program?

At the time, Medtronic made decisions what they thought would be good for the company as well as their employees. However, there are several areas of concern that could be redesigned to help accommodate cost as well as the company. One area that I saw right away that needs attention immediately was the redesign of the part-time employee’s hours. Currently, Medtronic considers part-time as those who work 32 or less hours per week. According to the Affordable Care Act (ACA), if an employee works a minimum of 30 hours per week, they are considered full-time and large