1. Select a company to research.
    • Pick a company that you admire or that interests you. You could also select a company that you’d like to work for in the future. (the company i chose is Macy’s)
    • You may want to select a publicly-traded company, as you will have access to more information.
  2. Go to the company’s website and find the Investor Relations page.
    • Locate the annual report and download it for future reference.
  3. Write a summary of the annual report that addresses the following:
    • Liquidity
      1. Current Position Analysis. Calculate the company’s working capital, current ratio, and quick ratio. Provide a brief (2-3 sentences) analysis of the data.
      2. Accounts Receivable Analysis. Calculate the company’s accounts receivable turnover and number of days’ sales in receivables. Provide a brief (2-3 sentences) analysis of the data.
      3. Inventory Analysis. Calculate the company’s inventory turnover and number of days’ sales in inventory. Provide a brief (2-3 sentences) analysis of the data.
      4. In no more than 2 paragraphs, write a synopsis of company’s liquidity.
    • Profitability
      1. Calculate each of the following and provide a brief (2-3 sentences) analysis of the data:
        • Asset turnover
        • Return on total assets
        • Return on stockholders’ equity
        • Earnings per share on common stock
        • Price-earnings ratio
        • Dividends per share
        • Dividend yield
      2. In no more than 2 paragraphs, write a brief synopsis of the company’s profitability.
    • Solvency
      1. Calculate the following ratios:
        • Ratio of fixed assets to long-term liabilities
        • Ratio of liabilities to stockholders’ equity
        • Times interest earned
      2. In no more than 2 paragraphs, write a brief synopsis of the company’s solvency.
  4. In no more than 2 paragraphs, write a conclusion that compares your initial perceptions of the company to what you now think since you’ve conducted your analysis.

Requirements:

 

“Is this question part of your assignment? We Can Help!”

 
"Looking for a Similar Assignment? Get Expert Help at an Amazing Discount!"