• 
  

  Financial Metrics	Year 1	Year 2	Year 3
  Liquidity Ratios
  - Current Ratio	3.5	4.0	4.5
  - Quick Ratio	2.8	3.2	3.6
  Profitability Ratios
  - Net Profit Margin	20%	22%	24%
  - Return on Assets (ROA)	14%	16%	18%
  Efficiency Ratios
  - Inventory Turnover	9 times	10 times	11 times
  - Accounts Receivable Turnover	16 times	18 times	20 times
  Trend Analysis	Increasing	Increasing	Increasing
  Financial Statement Analysis
  - Horizontal Analysis
  - Vertical Analysis

  Requirements:

  1. Compute liquidity ratios (current ratio, quick ratio) for Company PP for three consecutive years.
  2. Determine profitability ratios (net profit margin, return on assets) for the same period.
  3. Analyze efficiency ratios (inventory turnover, accounts receivable turnover) for each year.
  4. Perform trend analysis for each ratio.
  5. Perform horizontal analysis of financial statements.
  6. Conduct vertical analysis of financial statements.
  7. Ensure all ratios are correctly calculated.
  8. Provide interpretations for the trends observed.