Question 3

Woolworths and Coles are two well-known retail groups within Australia. They are both listed on the Australian Stock Exchange with Woolworths trading as the Woolworths Group Ltd (WOW) and Coles trading as Coles Group (COL) and in the table below is an extraction of ratios as at 30 June 2019.

Required:

Write a report briefly describing each ratio and which company is performing best based on each ratio. Include an overall conclusion as to which company you would recommend based only on the data you have been provided and justify your selection.

Question 4

'Lost Dogs' is trying to determine whether they should build kennels to provide boarding services to customers to cross subsidise their dog rescue service. They have performed the calculations and found the following:

Required:

a. Explain each method listed above and what it tells the business, list the decision rule and include one advantage and one disadvantage of each method (do not repeat advantages or disadvantages).

b. Review the results individually and determine whether you can individually accept the proposed project for each method.

c. Draw an overall conclusion as to whether, based on the 3 methods, you would recommend the project.