Discussion Post: Financial Analysis
Use 3 of the ratios listed below in the dis instructions to tell me if this is a healthy company. Do NOT use all the ratios for your report. Use these ratios to build your case in the examination of your company and to back up your statements on the health of your company in your report. You must show the equation and the numbers you used to calculate your ratios. Provide your interpretation of the numbers, not just what numbers the equation gave you. What strengths do you intend to build on? What needs to be improved?
Ratios:
Current ratio: current assets/current liabilities
Quick ratio: (current assets - inventory)/current liabilities
Debt to Assets Ratio: total debt/total assets
Return on Assets: net profit/total assets.
The response should include a reference list. Using double-space, Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.