Complete a ratio analysis for that company’s last year’s financial data. At a minimum, list and discuss the company performance vs. its industry average for these 4 ratios:
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I know there are more advanced ratio so I am including the suggested ones below. It should be about 500 to 600 words and in charts and cited APA
| Liquidity Analysis Ratios |
 Current Ratio |
| Current Assets | ||
| Current Ratio = | ———————— | |
| Current Liabilities | ||
| Quick Ratio |
| Quick Assets | ||
Quick Ratio = | ———————- | |
| Current Liabilities | ||
| Quick Assets = Current Assets – Inventories |
| Net Working Capital Ratio |
| Net Working Capital | ||
Net Working Capital Ratio = | ————————– | |
| Total Assets | ||
| Net Working Capital = Current Assets – Current Liabilities |
| Profitability Analysis Ratios |
| Return on Assets (ROA) |
| Net Income | ||
Return on Assets (ROA) = | ———————————- | |
| Average Total Assets | ||
| Average Total Assets = (Beginning Total Assets + Ending Total Assets) / 2 |
| Return on Equity (ROE) |
| Net Income | ||
Return on Equity (ROE) = | ——————————————– | |
| Average Stockholders’ Equity | ||
| Average Stockholders’ Equity = (Beginning Stockholders’ Equity + Ending Stockholders’ Equity) / 2 |
| Return on Common Equity (ROCE) |
| Net Income | ||
Return on Common Equity = | ——————————————– | |
| Average Common Stockholders’ Equity | ||
| Average Common Stockholders’ Equity = (Beginning Common Stockholders’ Equity + Ending Common Stockholders’ Equity) / 2 |
| Profit Margin |
| Net Income | ||
Profit Margin = | —————– | |
| Sales | ||
| Earnings Per Share (EPS) |
| Net Income | ||
Earnings Per Share = | ——————————————— | |
| Number of Common Shares Outstanding | ||
| Activity Analysis Ratios |
| Assets Turnover Ratio |
| Sales | ||
Assets Turnover Ratio = | —————————- | |
| Average Total Assets | ||
| Average Total Assets = (Beginning Total Assets + Ending Total Assets) / 2 |
| Accounts Receivable Turnover Ratio |
| Sales | ||
Accounts Receivable Turnover Ratio = | ———————————– | |
| Average Accounts Receivable | ||
| Average Accounts Receivable = (Beginning Accounts Receivable + Ending Accounts Receivable) / 2 |
| Inventory Turnover Ratio |
| Cost of Goods Sold | ||
Inventory Turnover Ratio = | ————————— | |
| Average Inventories |
