answer soon. as possible

LAB #3 In groups of 5, select two publically traded companies on stock exchange (e.g. TSX, New York) These companies must be in the same industry and you need to get approval before you can start the "task. Task: Using the 5 different type of financial formulas, compare the two companies and write a paragraph per formula explaining which one in your opinion is the best to invest money into? Marks: 10 . Time: 3 hours Profitability Ratios Not earnings Net profit margin- Revenues Gross profit margin Gross profit Revenues ROA-Profit margin ratio x total asset turnover Net earnings + Interest expenso X (1 - Tax rate)) Sales revenue Sales revenue Average total assets Net earnings - Preferred dividends ROE Average common shareholders' equity Short-Term Liquidity Ratios Current assets Current ratio- Current liabilities Quick ratio-Cash + Accounts receivable + Marketable securities Current abilities Operating cash Operating cash flow to short-term debt Short-term debt and current maturities of long-term debt Activity Ratios Credit sales Accounts receivable turnover Average accounts receivable Inventory turnover - Cont of goods sold Average inventory Credit purchases Accounts payable turnover Average accounts payable Solvency Ratios Total liabilities Debt equity Shareholders' equity Total liabilities Debt to total assets Total assets Not earnings + Taxos + Interest Times interest earned Interest Operating cash flow to total debt - Operating cash flow Total debt Equity Analysis Ratios Basic earnings per share Net earnings - Preferred dividends Weighted average number of common shares outstanding Price/earnings ratio - Stock market share price Earnings per share Profitability Ratios Net earnings Net profit margin Revenues Gross profit Gross profit margin Revenues ROA = Profit margin ratio x total asset turnover Net earnings + [Interest expense x (1 - Tax rate) Sales revenue Net earnings - Preferred dividends Average common shareholders' equity Sales revenue Average total assets ROE Short-Term Liquidity Ratios Current assets Current ratio- Current liabilities Cash + Accounts receivable + Marketable securities Quick ratio = Current liabilities Operating cash flow Operating cash flow to short-term debt Short-term debt and current maturities of long-term debt Activity Ratios Accounts receivable turnover Credit sales Average accounts receivable Inventory turnover Cost of goods sold Average inventory Accounts payable turnover - Credit purchases Average accounts payable Solvency Ratios Total liabilities Debt to equity = Shareholders' equity Total liabilities Debt to total assets = Total assets Times interest earned Net earnings + Taxes + Interest Interest Operating cash flow to total debt - Operating cash flow Total debt Equity Analysis Ratios Basic earnings per share Net earnings - Preferred dividends Weighted average number of common shares out: 4/4 Stock market share price Price/earnings ratio Earnings per share