1. To help improve our operations, comment on how we are doing with respect to asset management. Are there any areas for improvement?

2. To measure our company's solvency, which of these ratios would we use and why? For Companies with deficits in shareholder equity, many analysts look to consistent strong cash flow from operations as the best indication of solvency

3. In an effort to help us improve our overall debt situation, we would like you to provide us with an assessment of our company's solvency and leverage. What would be your plan to achieve positive equity?

4. Why might the ratios have increased or decreased?

Choice Hotels (2017/2016)-1 Percent change from 2016 to Ratios 2017 2016 Formulas 8.61 Receivables turnover ratio Quick ratio Debt-to-assets ratio Debt-to-equity ratio Equity multiplier Return on assets (ROA) 8.03 1.37 1.31 1.23 1.37 5.37-3.74 4.372.74 0.12 0.16 0.07 0.05 0.10 0.44 0.60 -0.24 receivables turnover ratio total revenue/accounts receivable quick ratio current assets/current liabilities debt-to-total assets ratio total liabilities/ total assets debt/equity ratio-total liabilities/total shareholders' equity equity multiplier total assets/total stockholder equity return on assets (ROA)net income/total assets