Problem
With the lifting of almost all the COVID-19 restrictions, many economists expect the food and beverage sector to recover and grow dramatically.
I. Your friend, Albert who has just received a rich inheritance has asked you to take a closer look at some of the F&B businesses in Singapore as potential candidates for investment. The company selected should be one you are familiar with or any public listed company in which you are able to obtain the latest annual reports. Compute the below six ratios over two latest periods. Using the ratios, comment on the company's business performance and financial position from the viewpoint of a prospective investor. The ratios must be computed using SUSS Formula Sheet. Show all workings. In addition, the financial statements should be included in the appendix, with the numbers used highlighted in yellow. • Current ratio. • Debt-to-equity. • Return on total assets. • Profit margin ratio. • Any two other ratios that would be relevant in your analysis.
II. Conclude whether the company is a good investment option based on the analysis conducted in part (I).