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If you can please provide a general overview on Part B. Discuss which of the ratios computed in part (a) will receive more emphasis by

If you can please provide a general overview on Part B.

Discuss which of the ratios computed in part (a) will receive more emphasis by a financial statement reader who is a:

  1. creditor
  2. equity investor
  3. supplier

image text in transcribed

Companies: (you may request to do a different set) John Deere and Caterpillar Wal-Mart and Target Coke and Pepsi Wendy's and McDonald's Access the financial reports and address the following: a. Compute the following ratios for the two most recent years: i. current ratio ii. acid-test ratio iii. receivable turnover iv. inventory turnover V. asset turnover vi. profit margin on sales vii. rate of return on assets viii. rate of return on common stock equity ix. earnings per share x. price-earnings ratio xi. dividend payout ratio xii. debt to total assets xiii. times interest earned xiv. cash debt coverage ratio xv. book value per share xvi. asset to equity ratio b. Discuss which of the ratios computed in part (a) will receive more emphasis by a financial statement reader who is a: i. creditor ii. equity investor iii. supplier

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