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Can someone help me: Show calculations Prepare a complete financial ratio analysis for two companies that operate within the same industry. Using the ratios, you

Can someone help me: Show calculations

Prepare a complete financial ratio analysis for two companies that operate within the same industry. Using the ratios, you will summarize your findings and make recommendations about investing in each company.

When selecting your companies:

  • use only domestic corporations (I am in LA so chose wisely)
  • use companies that produce a product do NOT select service companies
  • use companies that have their financial statements online (SEC filing 10-K).
  • Complete a ratio analysis for both companies for the most recent fiscal year
  • Current Ratio
  • Quick Ratio
  • Inventory Turnover
  • Average Collection Period
  • Total Asset Turnover
  • Debt Ratio
  • Times Interest Earned
  • Gross Profit Margin
  • Operating Profit Margin
  • Net Profit Margin
  • Earnings per Share
  • Return on Total Assets
  • Return on Common Equity
  • Price/Earnings Ratio
  • Market/Book Ratio
  • Analyze the companies performance in the five key areas relative to each another
    • Liquidity
    • Activity
    • Debt
    • Profitability
    • Market
  • Make a recommendation as to which company represents the best investment
  • It should contain:
    • A ratio analysis for each company (1 page for each, 2 total)
    • A report comparing the companies in the five key areas and providing an overall recommendation (1-2 pages max)
    • The balance sheet and income statements you used to calculate your ratios (be sure all the data prints out on the pages)

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