why each ratio is important for financial decision making.

Purpose of Assignment The purpose of this assignment is to help students gain a better understanding of the financial statements used for corporate financial reporting and the key ratios used to make business decisions. Assignment Steps Select a Fortune 500 Company from one of the following industries: Pharmaceutical, Energy, Retail, Automotive, Computer Hardware. Review the balance sheet and income statement in the company’s 2015 Annual Report. Calculate the following ratios using Microsoft® Excel®: Current Ratio, Quick Ratio, Debt Equity Ratio, Inventory Turnover Ratio, Receivables Turnover Ratio, Total Assets Turnover Ratio, Profit Margin (Net Margin) Ratio, Return on Assets Ratio, Analyze in 1,050 words why each ratio is important for financial decision making. Submit your analysis as well as your calculations.

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