students must complete the following four steps: Identify a company and one of its primary competitors to perform the financial analysis on Complete a full ratio calculation for both firms Assess, interpret, and compare the financial ratios calculated for both firms Summarize findings in a presentation that will be shared with the class via the Mini Project One Discussion board Sections to be Addressed Overview of the firm In this section, students will conduct research to provide a summary of the following: Overview of the selected firms product & industry Overview of current financial health of the selected firm Overview of industry & any current trends potentially impacting the selected firm Identified competitor and brief summary of that competitors products Ratio Calculation In this section, students must gather the most recent set of financial statements on their selected firm and competitor firm and calculate the following ratios for each firm (Note: All calculations must be shown for credit): Profitability ratios: operating margin, profit margin, return on total assets, basic earning power, return on common equity Asset management ratios: inventory turnover ratio, days sales outstanding, fixed asset turnover ratio, total asset turnover ratio Liquidity ratios: current ratio, quick ratio Debt management ratios: total debt to total assets, times interest earned ratio Market value ratios: price to earnings ratio, market to book ratio Financial Assessment In this section, students must assess, interpret, and compare the financial ratios calculated for both firms in step 2. Students will perform a side-by-side analysis and address the following questions: Which firm has better profitability ratios? Why? Which firm has better asset management ratios? Why? Which firm has better liquidity ratios? Why? Which firm has better debt management ratios? Why? Which firm has better market value ratios? Why? Based upon the ratio comparison, which is a better investment choice- the originally selected firm or its competitor? Why? Guidelines Presentation Guidelines All calculations must be shown for credit- calculations can either be embedded in the presentation or submitted as a separate Excel file Presentations must be in Power Point or similar format Students must present their presentation via voiceover or video to the class on the course webpage under the Project One discussion board Presentations should be approximately 10-15 minutes in length Presentations should be 15 slides max APA format must be used for all references