Calculate 3 profitability rations and 3 risk rations (show calculations) and use...

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Accounting

Calculate 3 profitability rations and 3 risk rations (show calculations) and use these ratios to comments on profitability and risk of the company.
From an investor's point of view, would you invest in the company?
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Exhibit 4 Tesco Balance Sheet Balance Sheet FL2010 F12011 ASSET Cash and equivalents Short Tem investments Total cash and ST investments 1233 4,742 1022 4,133 2,104 1,134 2.583 2514 1,947 Other receivables Total receivables 2.729 3,182 420 Other current assets Total current assets Gross property, plant and equip Net property, plant, and equip. 29,844 31,783 7.580 (8.172) 24,398 34,772 (9.002) 5,710 23,152 1.254 3,318 1,949 .337 Other intangbles Accounts receivable long-term Loans receivable long-term Deferred tax assets, LT Deferred charges, LT Other long-term assets Total assets 1470 3.017 3,717 50,781 47,206 5,782 1,701 2,012 Accrued expenses Short-term borrowings Cument portion of long term debt Current portion of capital leases Curment inoome taxes payable Other curent labides Total current liabilities 32 362 7.151 17,595 7.703 17,731 8.412 19,249 Long term debt Capital leases Pension and other post-retire benefes Def, tax liability, non current Other non-current iabilties Total liabilities 12.185 1.404 1,350 1,004 713 ,872 1.100 788 Common stock Additional paid in capital Retained eamings Treasury stock Comprehensive ina and other Total conmmon equity 4.038 7.844 4.801 4,890 4.904 12.104 (141) 17,775 Minority interest 85 Total equity 12,906 16,623 17,801 Source: Capital IQ, accessed August 2012 Dates of hlings February 25, 2009, February 27, 2010, Febrary 26, 2011, and February 25, 2012

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