Question

Use the Internet to research an annual report of a retail company. Then, imagine you are an investor or creditor and suggest the ratios that you believe would provide an investor or creditor with the most important information needed to make accurate predictions about the company’s financial condition. When analyzing a company, is it more important to compare the ratios to competitors or to the company’s previous history? Provide a rationale for your response. Note: You must provide a link or instructions to the researched report.

Answer 1

Answer:

We consider walmart retail company that gives you a daily needs product

The following ratios are important on the investor point of view

Ration name	2018	2017	Explanation
Current ratio	76%	86%	Current ratio tells the liquidity position of the organization, it has descended from 2017 on account of increment in current liabilities.
Quick ratio	16%	19%	Quick ratio tells the most fluid resources in the organization, it has descended from 2017.
Debt equity	60%	59%	Debt equity tells the connection among obligation and value in an organization, Walmart's Debt value proportion is great, it appears, organization does not have much debt.
Interest coverage	7.49%	9.66%	This ratio tells how effectively organization can pay its enthusiasm on obligation Walmart's advantage inclusion has descended from earlier year.
Net profit margin	1.99%	2.83%	This ratio tells the productivity of the organization, NPM has descended from earlier year.
Return on equity	12.66%	17.54%	This ratio tells the aggregate profit earned for the value contributed. This has descended from earlier year.
P/E ratio	26.62%	16.02%	This ratio tells how much cost financial specialists are paying and what amount winning, they are getting on a solitary offer, P/E has expanded, that tells waltmart's offer is costly

Conclusion:

It can be extremely well observe that Walmares budgetary, gainfulness and Liquidity position was better in 2017 as contrast with 2018.