Part 3 - What do the ratios reflect

Research Paper: Part III

For this assignment, you will continue researching your chosen company. Compose a paper on the financials of your chosen firm; you will choose two ratios from each category (liquidity, profitability, and solvency) and conduct an analysis as well as highlight key areas/trends of the income statement and balance sheet. Be sure to answer the following questions in your response:

• What do the ratios reflect?
• Does the company appear healthy and headed in the right direction? Explain.
• How does the company compare to another firm in the same industry in regards to financial metrics (for instance, a comparison of Target versus Walmart based on the basic ratio categories mentioned above)?