Ratios are used for many reasons; performance measurement is one such application. Though, not all performance measures are expressed as the ratio. Do some research on Internet to learn about operating leverage, ROI, EVA, and choose an additional performance measure of your choice. You would note that there are variations in computations of particular measurement. Consistency in application is the key.
Use information from latest financial statement from Raytheon Corporation to calculate the 4 (four) measurements:
Operating Leverage, ROI, EVA, and extra choice
Reflect on advantages and disadvantages of these performance measures. Select your preferred measure and describe your justification.
Modular SLP Assignment Expectations
Include the name of the organization(s), time period covered and source of information. It is significant to answer questions as posed. The document must be from 2 to 4 pages and written in clear and concise manner. Don't forget to include tables as needed. Support your discussion or tables with references in APA format. You are encouraged to use Excel or other compatible spreadsheet when computations are involved. You could turn in the spreadsheet instead of the Word document. The content must be equivalent to the page length suggested for a word processing document.