Project 2 – 25 points
For your second project, you will use the Income Statement and Balance Sheet of a real corporation to calculate ratios and determine trends using financial items from them.
1. Copy to PDF or Word document the income statement and balance sheet of a publicly traded corporation: Use Marketwatch.com:
o Type the ticker or company name in the “search” box
o Select ‘Financials’ from the menu
o Select “annual data (default),” not “quarterly data,” for your company’s financial statements.
o Be sure all 5 years of data are included in your file.
2. On a separate page, show me your calculations for the most current year for the following ratios and answer the following questions:
a. Current Ratio (1:1)
b. Debt Ratio (%)
c. For the 5-year period given, what kind of trend (up and down) can you detect year to year in Total Revenues on the Income Statement?
d. For all 5-year period given, what kind of trend (up and down) can you detect year to year in Net Income on the Income Statement?
Upload to the Project 2 Dropbox:
1. The two financial statements (the Income Statement and the Balance Sheet)
2. The ratio calculations and trends noted for a – d above on a separate page – include the name of the company on this page.