Final – Ratio Analysis Memo

I will use Kuddler Find Foods as my organization

Resources: Virtual Organizations

Click the Virtual Organization link to access the Virtual
Organizations.

Select one of the Virtual Organizations as the basis
for this assignment.

Obtain faculty approval of your selected organization before
beginning the assignment.

Access the information contained in your selected
organization’s balance sheet and income statement to calculate the
following:

• Liquidity ratios
  • Current ratio
  • Acid-test, or quick, ratio
  • Receivables turnover
  • Inventory turnover
• Profitability ratios
  • Asset turnover
  • Profit margin
  • Return on assets
  • Return on common stockholders’ equity
• Solvency ratios
  • Debt to total assets
  • Times interest earned

Show your calculations for each ratio.

Create a horizontal and vertical analysis for the balance
sheet and the income statement.

Write a 350- to 700-word memo to the CEO of your selected
organization in which you discuss your findings from your ratio calculations and
your horizontal and vertical analysis. In your memo, address the following
questions:

• What do the liquidity, profitability, and solvency ratios reveal about the
  financial position of the company?
• Which users may be interested in each type of ratio?
• What does the collected data reveal about the performance and position of
  the company?

Format
your memo consistent with APA guidelines.