Financial Data

Using the same company you selected in Module Three, add another two years of financial statement data so that you have three years of annual data
to review for historical analysis. In all, your Excel file must include the following:
o Three worksheets of annual balance sheet data
o Three worksheets of annual income statement data
o Three worksheets of annual statement of cash flow data
Important Note: Be sure to label each worksheet in Excel with the appropriate year, as you did in the Module Three assignment.

  1. Ratio Calculation
    On each data tab, use formulas to calculate the following financial indicators for each year of data:
    o Current ratio
    o Debt/equity ratio
    o Free cash flow
    o Earnings per share
    o Price/earnings ratio
    o Return on equity
    o Net profit margin
  2. Written Responses
    In a separate Word document, respond to the following:
    o Describe how and why each of the ratios has changed over the three-year period. For example, did the current ratio increase or decrease? Why?
    Describe how three of the ratios you calculated for your company compare to the general industry. Find general industry data by entering your specific
    company’s ticker symbol here. Be sure to watch the Mergent Online video (written instructions can be found here), as it will help you find the industry data.
  3. Professionalism, References, and Mechanics
    Format the data on all worksheets so that the file has a neat and professional appearance. Include links and properly formatted citations referencing the
    location of the data used. Your written responses should be free of errors in organization, grammar, and style.
    Guidelines for Submission: Submit an Excel file that meets the criteria described in the prompt. The written responses should be done in a Word document. Be
    sure to include both the Excel file and Word document. Citations should be formatted according to APA style.

Sample Solution