Financial Statement Analysis
My company is Walmart.
Part I
• Perform at least one profitability ratio to measure the income and operating success of your selected company.
• Perform at least one liquidity ratio to measure the ability of the company to pay short-term debt and meet unexpected needs.
• Perform at least one solvency ratio to measure the ability of the company to survive in the long-term.
• Review all of the calculations of the different companies as a team. Compare the profitability, liquidity, and solvency ratios.
• Complete a spreadsheet that presents the profitability, liquidity, and solvency ratios comparatively for all of the companies.
• Highlight the company that has the best numbers for each ratio.
Part II
Develop a 700-word evaluation of the selected companies in which the team does the following:
• Evaluate the financial opportunity presented by the companies. If the team was going to lend money to one of the companies reviewed, which one would it be? Defend the team's decision.
• Evaluate the investment opportunity presented by the companies. If the team could invest $100,000 in one of the companies, which would the team select? Provide the rationale.
• Evaluate the employment opportunity presented by the companies. If the team members could work for any of the companies, which company would the team select? Defend the team's decision.