Complete the Case Study Assignment: Case 1-3: Comparative Analysis, Credit and Equity.

This Assessment will firmly plant your feet in the world of Financial Statement Analysis, setting the stage for much of what you will do going forward. It is challenging, but will set you up with tools to make better business decisions going forward, in this class and in the real world.

Identify by this analysis the company that you consider the better short-term credit risk and explain why.

Compute the net profit margin, total asset turnover, return on total assets, and return on common stockholders equity for both companies.

Assume each company paid a cash dividend of $1.50 per share and that each companys stock can be purchased at $25 a share. Compute each companys price earnings ratio and dividend yield.

Identify which companys stock you would recommend as the better investment and explain why.

This is a challenging activity. You should prepare to spend a substantial amount of time working on your response. Be sure to show your work for each calculation; simply providing the answer is insufficient.

Assessment Instructions

This project is to be submitted using Microsoft PowerPoint slideshow. It should include a title slide with your name, course number, your instructors name, date, and the subject of the presentation. Follow this with a brief statement that you (and you alone) produced the project.

The project should include the following elements:

Introduction bullet point slide summarizing the project and the companies.

A slide summarizing the credit risk analysis and decision

A slide summarizing the asset and equity performance of both companies

A slide summarizing stock performance and your investment advice

A slide if needed for in-text citations and reference

Each slide should include your speaker notes or audio note

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