- You may use Excel, Word, or even complete it manually.
- Find the financial statements on a company of your choice and perform the financial analysis. You can use Google finance (https://www.google.com/finance (Links to an external site.)Links to an external site.), Yahoo finance (http://finance.yahoo.com/ (Links to an external site.)Links to an external site.), or any other aggregator by your choice.
- Compute the following ratios:
- Liquidity and Efficiency
- Working Capital
- Current Ratio
- Acid-Test Ratio
- A/R Turnover
- Inventory Turnover
- Days’ Sales Uncollected
- Days’ Sales in Inventory
- Total Asset Turnover
- Solvency
- Profitability
- Profit Margin
- Return on Total Assets
- Return on Common Stockholders’ Equity
- Market Prospects
- Price-earnings Ratio
- Dividend Yield
- Explain what each of these ratio mean.
