a. For the years ending June 30, 2013, and June 30, 2011,compute and discuss the return on equity (ROE), returnon assets (ROA), profit margin ratio, asset turnover ratio,current ratio, cash flow ratio, debt-to-equity ratio, interestcoverage ratio, debt coverage ratio, NTAB, EPS, DPS, and the PER.
b. Discuss the major differences between your analysis ofJune 30, 2013, report and June 30, 2011, report(prior to the takeover of CTEC). Appraise the problemsfaced by FGL management in light of your analysis.
c. Using January 31, 2014, unaudited financialinformation, compute the ROE, ROA, profit margin ratio,asset turnover ratio, current ratio, cash flow ratio, debt-to-equity ratio, interest coverage ratio, debt coverage ratio,NTAB, EPS, DPS, and the PER. Comment on the ratioanalyses performed.
4. COMPANY GROWTH
a . Outline and compare two types of company growthstrategies.
b. Hypothesize why it is important to compute financialmetrics that link the income statement and the balancesheet to help understand the growing business. Use theFGL example to test your hypothesis.