The balance sheet for Wendy’s International Inc. is shown in Appendix C.

Required

a. Conduct a vertical analysis of the balance sheet for each year, 1996 and 1997.

b. Calculate the liquidity, asset management, and debt management ratios.

c. Evaluate Wendy’s’ liquidity in each year.

d. Evaluate Wendy’s’ asset management and debt management strategies.

e. In which year was Wendy’s most successful? Why?LOP98