Microsoft Versus Google (Top Class)

Grading Guide for Week 3 Financial Statement Analyses.html

Here is the basis for grading your Week 3 financial statement analysis.       You can use it as a checklist to ensure that your assignment is as complete and as correct as possible.         

 Procedure   

1.  Evaluate short-term solvency ratios 

2.  Evaluate profitability in relation to revenues

3.  Evaluate profitability in relation to equity

4.  Calculate the 4 ratios of the DuPont Analysis and evaluate what they mean for strategy,  These ratios are ROE, Profit Margin on Sales, TATO and the Equity Multiplier.

5. Evaluate long-term solvency  

6. Evaluate market value ratios (not just book value ratios)  

7. Correctly interpret results for items above.  At random, we will test a few calculations for accuracy 

8. Combine all findings into a coherent final summary     Each item above carries roughly equal weight