The objective here is for you to analyze the company in terms of its profitability, solvency, and liquidity, and to provide your investment and credit recommendations. Using the information you calculated on your MS Excel worksheet, address each of the following questions. Use the results of your ratio and other analyses to support your answers:
You are to discuss the following ratio categories for your company:
(v)Other (as applicable)
Look up what each of these terms mean, and which ratios support the analysis of each. You can state what each ratio ‘tells’ us in general (do not report how the ratio is calculated – this is given in the excel file). Considering what the ratio is ‘telling’ us, analyze how your company is performing, and compare to your competitor. After presenting each of the individual ratios under their respective categories, finally, summarize how your company is performing in each of the five categories (profitability, turnover, liquidity, solvency, and other).
The below recommendations will be based on these conclusions.