Section 1: Financial Statement Analysis

Calculations: Measure Cisco System (CSCO) financial ratios of the past three years from the 6 categories below.Then, compare each ratio with its competitor juniper Network: NYSE: JNPR (do the same calculations for the competitor).

(1)Liquidity:

oCurrent Ratio

oQuick Ratio

(2)Efficiency:

oTotal Asset Turnover

oDays Sales Outstanding

(3)Leverage:

oTotal Liabilities to Total Assets

oTimes Interest Earned (TIE) Ratio

(4)Profitability:

oProfit Margins- Percentage of revenues remaining after deductions:

oReturn on Assets (ROA)

(5)Market multiples:

oPrice Earnings (P/E) ratio

oEarnings Per Share (EPS)

(6)DuPont Ratio and explain.Please illustrate on each individual part of the DuPont Ratio (profit margin, turnover, and leverage).