In: Finance
1. Choose two firms that compete within the same
industry (e.g., J.C. Penney and Sears, Johnson & Johnson and
Merck, Ford and GM).
2. Go to each firm's website, and then access and download their
annual reports (financial statements).
3. Using the accounting data from the firms' financial statements
and the ratios studied in Chapter 9 of the textbook, calculate all
ratios for each firm (liquidity ratios, activity ratios,
profitability ratios, leverage ratios, and coverage ratios).
4.Analyze and compare your calculations for the two
firms.