The following schedule provides the norms for certain key ï¬nancial ratios in a given industry and the

Question:

The following schedule provides the norms for certain key ï¬nancial ratios in a given industry and the ratios for three companies in that industry.

Required:
(a) Evaluate the overall ï¬nancial health of these three ï¬rms. Given the information provided, which firm do you believe is in the strongest ï¬nancial condition? Explain.
(b) Again, based only on the data provided, which ï¬rm€™s common stock do you believe would be the most attractive investment alternative? Why?
(c) List three other items of ï¬nancial or non-ï¬nancial information that you would want to review before making an investment decision regarding the common stocks of these companies.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing...