Project 1.

a. Fill in the following information for the five non-financial companies of your choice.

Company name	?	Firm 2		Firm 3		Firm 4		Firm 5
Current Ratio	0.97
Total Debt Ratio	0.58
Asset Turnover	2.38
Profit Margin	3.1
Price to Earning	14.1
Market to Book	2.6
Closing Stock price (Sep 1st)			250.33

Please explain the ratios of the firms to the potential investors of these five stocks.(Use the structure of the textbook and compare them with the industry averages, if possible)

Short-term solvency or liquidity ratios: The current ratio is smaller than one, which is not that great.

Long-term solvency or financial leverage ratios: The total debt ratio is 0.58, which is in a good shape.

Asset management or turnover ratios: Asset turnover is 2.38. This is high. Walmart utilizes its assets well.

Profitability ratios:

Market value ratios: Both Market to Book and Price to earning ratios are below the industry averages. The stock is underpriced.