A team member is typically assigned one of the five classifications $($i$.$e$.,$ student A will be responsible for liquidity, student B will be responsible for activity, and so on$).$ You will present a definition of the classification by citing the course text and other scholarly sources.

The team leader $($compiler of all member analyses$)$ may need to be assigned a classification as well; team size will dictate this.

Your paper, based upon your team's collective analysis, should include a measure of and analysis of financial outcomes based on the ratios for each financial ratio classification $($i$.$e$.,$ the liquidity classifications of ratios are based upon the quick and current ratio outcomes$).$

You will calculate ratios for each classification for the $3$ years of data $($i$.$e$.,$ the current ratio may have been $1\mathrm{.}5$ the first year, $1\mathrm{.}35$ the second year, and $\mathrm{.}75$ in the most recent year$).$ It is based on these results that you will measure financial performance, or trends, from one year to the next. It is imperative that the ratiosnumbers, and quantitative outcomes, support your analysis.

Using the data from the Income Statement and Balance Sheet, provide the correct calculation of the liquidity ratios and an assessment of the company's ability to maintain liquidity and the management of current assets and current liabilities. Include the proper assessment of outcomes as positive or negative trends when all ratio outcomes are factored as a group.

Liquidity Ratios

Current Ratio

Quick Ratio