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perform an overall analysis to explain your recommendation to the CEO. Your analysis should include the following: Explain how the company is trending based on

perform an overall analysis to explain your recommendation to the CEO. Your analysis should include the following:

  • Explain how the company is trending based on the year-over-year ratios.
  • Compare the company to the industry average in Appendix A in the Excel workbook in areas of profitability, management effectiveness, and efficiency.
  • Based on the above, summarize the pros and cons of ABC Company using both the year-over-year ratio analysis from Part 1 and the industry average comparisons from Part 3.
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Paste B I U V V V A v Merge & Center $ ~ % " Conditional Format Formatting as Table St Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you left off? X V fx| 1.49 A B C D E F G H 1 J K L M N P Appendix A Technology 3-Year Average for Industry Averages Profitability Gross Margin 66.15% Operating Profit Margin 12.04% 8 Net Profit Margin 6.01% 9 Earnings per Share 1.49 10 11 Management Effectiveness 12 Return on Equity 12.40% 13 Return on Assets 5.61% 14 Return on Investment 14.42 15 Quick Ratio 2.87 16 Current Ratio 2.57 17 Debt-to-Equity 61.01% 18 Total Debt to Equity 57.08% 19 20 Efficiency 21 Total Asset Turnover 0.55 22 Inventory Turnover 44.98 23 Accounts Receivable Turnover 8.21 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 Income Statement-Balance Sheet Ratio Calculations FORMULA WORKSHEET Appendix A +

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