Please respond to the following: •From the e-Activity, determine why it is sometimes misleading to compare a company’s financial ratios with those of other firms that operate within the same industry. Support your response with one (1) example from your research. • From the scenario, determine two (2) strategies that TFC could utilize to reach its expansion goals. You may, for example, consider your analysis of TFC’s financial statements, as well as your knowledge of TFC’s excessive cash position. Provide a rationale for your response.
The two companies used as an example of wrong practices and unethical managerial conduct. Examples: Bernie Madoff case (Bernard livladoff investment securities) and Arthur Anderson. Trevose Fitness Center (TFC) is able to raise funds for expansion purposes through either issuing common stocks. (Equity financing) or borrowing from a bank (Or issuing bonds to the public).