Read Chapters 1 and 2 in your course textbook, Porter, G., & Norton, C. (2018). Using financial accounting information: The alternative to debits and credits (10th ed.). Retrieved from https://www.cengage.com
Select a company of interest that trades on the New York Stock Exchange (NYSE). The annual report can be found on your selected company’s website, usually under the heading “Investor Relations.” Select a company that a fellow student has not already posted. Note that you will use this same company for future discussions in this class.
Retrieve the latest two annual reports, then complete the following:
- Calculate the current ratio and profit margin ratio for the latest two years, and interpret the results. Then, explain what the ratios over the 2 years tell you.
- Locate the Management Discussion and Analysis comments in the latest annual report, and discuss the main points in your own words.
- Locate the Auditor’s Report in the latest annual report, and discuss the opinion given and who conducted the audit.
- Based on this initial quick review, provide your assessment of your chosen company.
Your initial response should be a minimum of 200 words.