Mcdonald's Corp Ife Matrix and Financial Ratios

Prepare an IFE Matrix and Financial Analysis Ratio for McDonald's Corporation.

McDonald's Corp IFE Matrix | | | |

Key Internal Factors | Weight | Rating | Weighted Score |

Strengths |   |   |   |

1. Global comparative sales growth of 5.6% | 0.08 | 3 | 0.24 |

2. Serving record number of guests every day | 0.10 | 3 | 0.30 |

3. Menus more extensive, diverse and relevant to the times | 0.13 | 4 | 0.52 |

4. Elevating brand experience: digital ordering, delivery, new image restaurants | 0.15 | 4 | 0.60 |

5. Global success and expansion | 0.13 | 3 | 0.39 |

| | | |

Weaknesses |   |   |   |

6. US saturated with restaurants, growth must be internationally | 0.09 | 2 | 0.18 |

7. Dividend growth rate slowing | 0.10 | 2 | 0.20 |

8. Debt to equity ratio deteriorating | 0.10 | 2 | 0.20 |

9. Decrease in net income in 2012 | 0.12 | 1 | 0.12 |

| 1.00 | | 2.75 |

| | | |

McDonald's Financial Ratios | 12/31/12 | 12/31/11 | 12/31/10 |

Liquidity ratios | | |

Current ratio | 1.45 | 1.25 | 1.49 |

Quick ratio | 1.09 | 1.05 | 1.22 |

Cash ratio | 0.69 | 0.67 | 0.82 |

| | | |

Profitability Ratios | | | |

Operating profit margin | 31.21% | 31.58% | 31.04% |

Net profit margin | 19.82% | 20.38% | 20.55% |

Return on equity | 35.73% | 38.24% | 33.80% |

Return on assets | 15.44% | 16.68% | 15.47% |

Earnings per share | 5.41 | 5.33 | 4.64 |

| | | |

Activity ratios | | | |

Inventory turnover | 226.52 | 231.22 | 219.06 |

Fixed assets turnover | 1.12 | 1.18 | 1.09 |

Total assets turnover | 0.78 | 0.82 | 0.75 |

Accounts receivable turnover | 20.04 | 20.23 | 20.42 |

Average collection period | 18 | 18 | 18 |

| | | |

Leverage ratios | | | |

Debt to equity | 0.89 | 0.87 | 0.79 |

Debt to capital | 0.47 | 0.46 | 0.44 |

Times-Interest-Earned | 16.64 | 17.26 | 16.53 |

| | | |

Growth Ratios | | | |

Sales | 2.08% | 12.17% | 5.85% |

Net Income | -0.69% | 11.26% | 10.81% |...