Financial Analysis ProjectName______________________

Answer Sheet

SHOW ALL YOUR WORKJ

1. Calculate the 2016 (year ended 12/31/16) current ratio for Kellogg's. ( 6 pts)

1. Calculate the 2017 (year ended 5/28/2017) current ratio for General Mills. (6 pts)

1. Which company has a better current ratio and why? Explain in a short paragraph. ( 4 pts)

1. Calculate the 2016 accounts receivable turnover ratio for Kellogg's. (6 pts)

1. Calculate the 2017 accounts receivable turnover ratio for General Mills. (6 pts)

1. Calculate the average collection period for each company. (8 pts)

1. Which company has a better receivable turnover ratio and why? Explain in a short paragraph.(4 pts)

1. Calculate the 2016 inventory turnover ratio for Kellogg's.(6 pts)

1. Calculate the 2017 inventory turnover ratio for General Mills. (6 pts)

1. Calculate the average days to sell inventory for each company. (8 pts)

1. Which company has a better inventory turnover ratio and why? Explain in a short paragraph. (4 pts)

1. Calculate the 2016 debt to equity ratio for Kellogg's.

(Be sure to use Total Liabilities not just current) ( 6 pts)

1. Calculate the 2017 debt to equity ratio for General Mills. (6 pts)

1. Describe in a short paragraph what the debt to equity ratio measures and why this would be important to a potential creditor. (4 pts)

1. Calculate the 2016 net profit margin ratio for Kellogg's. (4 pts)

1. Calculate the 2017 net profit margin ratio for General Mills. (4 pts)

1. Which company has a better net profit margin ratio and why? Explain in a short paragraph. (4 pts)

1. In a short paragraph please explain which company you would rather invest in and give three reasons why based on your ratio analysis.( 6 pts)

1. Name the auditors for each company. ( 2 pts)