1. Create the 2005 Income Statement, Balance Sheet and Statement of Retained Earnings on Excel Use the format shown in class (see Zoom recordings). Put data on upper left corner of the Excel sheet All financial statements created must be linked by formulas

2. Evaluate the firms performance using ratio analysis.

Deliverables: 1. One Excel file with the financial statements and ratio calculations 2. WORD documents with the ratio Note: Complete the table below and expand accordingly.

Ratio Analysis: Complete the chart using the attached data and Financial Statements
Main Ratio Categories	Explanation	Example(s)	Interpretation	Industry Average	Analysis & Recommendations. Discuss two departments that could address the problem (if any) and explain how.
Liquidity Ratios		1.Current Ratio: 2. Quick Ratio		6x 5x
Debt Management Ratios		TIE		6.2%
Asset Management Ratios		DSO DSI		25 days 30 days
Profit Ratios		1.PM 2.ROE 3. ROA		6% 18.2% 9.1%
Market Ratios		Market-to-Book (M/B)		.2.5x

DataLongtermdebtCommonStockRetainedEarning2004AccrualsCashNotesPayableAccountsReceivablesInventoriesAccountsPayableNetfixedassetsSalesInterestCOGS(OperatingExpenses)CorporatetaxrateDividendsDepreciationMarketpricepershareSharesOutstanding$$$$$$$$$$$$$20055801306816080303154151308702,85060.00$2353.0090.0050.00