Financial Ratio Analysis (Return on Assets)

Purpose of Assignment

Students should understand how to use the financial information and tools learned in the class on a public company, obtain public company SEC reports, and use that data to calculate a company’s financial ratios and their comparison to industry or competitor standards.

Select one of the publicly traded corporations listed below and obtain the most current SEC Form 10-K (annual financial report) from the company’s web site and attach with assignment (Do not use the Annual Report that is sent to shareholders): We chose Apple Corporation

Calculate and analyze the following ratios for your selected company for the last two years from the SEC Form 10-K: I chose Return on Assets

Calculations for the two years MUST be shown. Industry ratios must be included.

Compare and contrast your company’s ratios to industry standard ratios obtained from Yahoo Finance, Morningstar, MotleyFool, Macroaxis or other Internet sources, and provide a detailed answer and analysis as to why your company’s ratios are different than the industry standard.

Prepare your analysis in Microsoft® Word. The use of Microsoft® Word tables is encouraged.

Cite the source of the industry/competitor ratio information.

Here is the 10-K link: