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Please Help. Show in Excel. Thank you. P-F:17-28A Using ratios to decide between two stock investments Assume that you are purchasing an investment and have

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P-F:17-28A Using ratios to decide between two stock investments Assume that you are purchasing an investment and have decided to invest in a company in the digital phone business. You have narrowed the choice to Digitalized Corp. and Bvery Zone, Inc, and have assembled the following data. Selected income statement data for the current year: Selected balance sheet and market price data at the md of the current year: Selected balance sheet data at the inginming of the current year: Your stmategy is to invest in companies that hyve low price/earnings tatios but appear to be in good shape financially. Assume that you have analyzed all other factors and that your decision depends on the rekults of ratio analysis. Requirements 1. Compute the following ratios for both companies for the current year: a. Acid-test natio e. Earnings per share of common b. Inventory turnover stock c. Days' sales in receivables f. Price/carnings nitio d. Debt natio g. Dividend payout 2. Decide which company's stock better fits your investment strategy

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