Financial Statement Analysis

Week 3 Financial Statement Analysis
Learning Team members will refer back to their Week 1
Individual Assignment and perform the calculations using the financial
statements from their individual companies.
Part I
Complete the following:
Perform at least one profitability ratio to measure the
income and operating success of your selected company.
Perform at least one liquidity ratio to measure the ability
of the company to pay short-term debt and meet unexpected needs.
Perform at least one solvency ratio to measure the ability
of the company to survive in the long-term.
Review all of the calculations of the different companies as
a team. Compare the profitability, liquidity, and solvency ratios.
Complete a spreadsheet that presents the profitability,
liquidity, and solvency ratios comparatively for all of the companies.
Highlight the company that has the best numbers for each
ratio.
Part II
Develop a 700-word evaluation of the selected companies in
which the team does the following:
Evaluate the financial opportunity presented by the
companies. If the team was going to lend money to one of the companies
reviewed, which one would it be? Defend the team’s decision.
Evaluate the investment opportunity presented by the
companies. If the team could invest $100,000 in one of the companies, which
would the team select? Provide the
rationale.
Evaluate the employment opportunity presented by the
companies. If the team members could work for any of the companies, which
company would the team select? Defend the team’s decision.
Format the assignment consistent with APA guidelines.