STEP 1: Postmedia Network Canada Corp.

Find the audited annual financial statement online for the Canadian public company assigned (use the Annual Financial Statements published in October 2022). The audited annual financial statement obtained from SEDAR ( https://sedar.com/search/search_form_pc_en.htm ) must contain audited financial statements and the MD&A (management's discussion and analysis). In SEDAR look for the Audited Annual Financial Statements. If complementary data is needed to answer any of the questions of step 2, look at any of the following complementary documents: Annual Report, MD&A or Annual Information Form, all are also available in SEDAR.

STEP 2: Calculate the ratios using the table provided

Answer	Ratio	Generic Formula	Define details for Postmedia Network Canada Corp
1)	Equity ratio	Equity Ratio = Shareholders' Equity / Total Assets	Shareholders Equity =
2)	Working Capital Turnover	Working Capital Turnover = Net Sales / Working Capital	Working Capital =
3)	Current ratio	Current Ratio = Current Assets / Current Liabilities
4)	Quick ratio	Quick Ratio = Quick Assets / Current Liabilities	Quick Assets =
5)	Assets turnover	Assets Turnover = Net Sales / Average Total Assets
6)	Interest Coverage	Interest Coverage = Operating Income / Annual Interest Expense
7)	Average Collection Period	Average Collection Period = (Average of Net Trade Accounts Receivable / Net Sales) * 365
8)	Return on Assets	Return on Assets = Operating Income / Total Average Assets
9)	Free Cash Flow	Free Cash Flow = Cash from Operating Activities - Cash used in Investing Activities (including dividends)
10)	Dividend Payout Ratio	Dividend Payout Ratio = Common Dividends per Share / Earnings per Share

11) Answer these questions based on your overall analysis of the company:

a) What is the profitability position of the company you are analyzing?

b) What is the profitability trend of the company you are analyzing?

c) Based on your analysis of profitability, what is your recommendation to investors: hold, buy, sell?