BUS 590 Business Strategy

1. Do a financial analysis of the assigned case study (which will be a company of your choice). 2. Read pages 186-194 - Chapter 6 Appendix B 3. On pages 193-194 Exhibit 6.B6 - A Summary of Key Financial Ratios, there are 23 calculations. Choose a company and report two years worthof financial statistics (from the Exhibit). 4. Then write a two paragraph evaluation of the financial status of the firm. 5. MUST CITE YOUR SOURCES.

Financial Analysis of (Your selected company) Brief overview of the your selected company - the business, its industry, so forth. Ratio Calculation Result/Year 1 Result/Year 2 Liquidity Ratios: Current ratio Current assets Current liabilities Quick ratio Current assets Inventory/Current liabilities Leverage Ratios: Debt-to-total assets ratio Total debt Total assets Debt-to-equity ratio Total debt Total stockholder equity Long-term-debt-to- Long-term debt equity ratio Total stockholder equity Time-interest-earned Profits before interest and taxes Ratio Total interest charges Equity Multiplier Ratio Average total assets Avg. stockholder equity Activity Ratios: Inventory turnover Sales Inventory of finished goods Fixed assets turnover Average sales Fixed assets Total assets turnover Sales Average total assets Accounts receivable turnover Annual credit sales Accounts receivableProfitability Ratios: Gross profit margin Sales - Cost of goods sold Sales Operating profit margin Earning before interest and taxes (EBIT) Sales Net profit margin Net income Sales Return on total assets (ROA) Net income Avg. total assets Return on stockholders' equity Net income (ROE) Total stockholders' equity Earnings per share (EPS) Net income Number of shares of common stock outstanding Growth Ratios: Sales Avg. Percentage growth in total sales (also called "Comps") Income Avg. percentage growth in profits Earnings per share Avg. percentage growth in EPS Dividends per share (DPS) Avg. percentage growth in DPS Price-earnings ratio Market price per share Earnings per share Evaluation Give a two-paragraph evaluation of your findings. How would you rate this company? Be detailed in explaining your interpretations of these financial statistics