Operational efficiency of company


The following ratios are for the 2002 Best Buy and CIRCUIT City:For Best Buy, Return on assets=8.52%; Profit margin=3.06%; Asset turnover=2.79; EPS= 1.50$; Market price=$18 and for Circuit city, Return on assets=1.01%; Profit margin=0.43%; Asset turnover=2.90; EPS= 0.5$; Market price=$10 Which company is better in terms of operational efficiency?

a. Best Buy

b. cannot be determined

c. Circuit City

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Finance Basics: Operational efficiency of company
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