Running head: FEDEX 2014 BALANCE SHEET CURRENT RATIOFedex 2014 Balance Sheet Current RatioInstitution AffiliationNameCourseDate1FEDEX 2014 BALANCE SHEET CURRENT RATIO2IntroductionIn the year 2014, total revenue of Fedex corporation increased as a result of an increase inperformance of all transportation segments. Moreover, the company was able to achieve moreprofits as a result of lower pension expenses. Among other factors which have rendered thiscompany more success is through their voluntary severance program as well as reduced variableincentive compensation (Calculating & Reporting Customer Profitability: FedEx Case Study, 2006). Forour case, we will be using the companys current ratio values as presented in its balance sheet andexplaining its trend as well its indication.Fedex corporation current ratioIn overview, current ratio is used by business companies in measuring and evaluating theirability to pay both short-term and long-term obligations. An increase in current ratio indicates apositive progress of the business firm. On the other hand, a decrease in current ratio shows that thecompany is not performing as expected hence there is need for an improvement. The companyrecorded current ratio values of 1.69, 1.96 and 1.82 in the year 2012,2013 and 2014 respectively.As indicated above, there was an improvement in terms of current ratios between the year2012 and 2013. This means that the company was focused in investing more of its assets ...
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