You are required to recommend a "buy", "hold" or "sell" strategy

for Company A so that the management can make a better decision on the

theoretical value of their company prior to investors' roadshow. Explain your

recommendation utilizing the ratios provided.

Current ratio = 0.74

Quick ratio = 0.39

Cash ratio = 0.15

Total asset turnover = 2.01

Inventory turnover = 27.96

Receivables turnover = 54.91

Total debt ratio =0.43

Debt-equity ratio =0.74

Equity multiplier =1.74

Times interest earned =5.26

Cash coverage ratio =8.12

Profit margin = 5.01%

Return on assets =10.08%

Return on equity = 17.59%