In this module, you will complete and submit your final project. You will perform a vertical and horizontal analysis and a ratio analysis. Then you will interpret these analyses for your audience, as well as researching competitor information. Lastly, you will use the information from your analysis and research this week as well as the information you gathered during the weekly Financial Accounting Projects to come to a decision about whether you would recommend investment in the company or not.
This week’s submission will include the following:
1. Workbook Spreadsheet from Module 02:
Page 1 – Complete the vertical and horizontal analysis calculations for the figures you collected in the Module 02 Financial Accounting Project.
Page 2 – Complete the financial ratios on the second page of the workbook you started in Module 02.
2. Research Paper:
Introduce your company to your audience. Share company history, values, goals, product lines, industry challenges, and any other interesting facts you find. Share what industry or industries your company operates in. Who are their major competitors?
Analyze the horizontal and vertical analysis you completed in the workbook. Choose three items from each analysis that you feel are important to highlight, positive or negative. Share what these items mean in terms of the company’s performance and your recommendation to invest or not to invest based on these figures.
Analyze the ratio analysis you completed in the workbook. Address each area of ratio analysis: liquidity, solvency, profitability, and market analysis. Interpret these ratios, and explain what they mean for your company, supporting your explanation with your calculations.
Locate or calculate at least 5 key ratios from your company’s main competitors. Compare your company to the competition and explain which company is performing better. Support your explanation with your calculations or research of the competition.
Advise your audience as to whether to invest in Tootsie Roll Industries Inc. Remember to support your recommendation with the figures calculated in your analysis. Your work should support your recommendation. Prepare a clear and concise professional business report. Use proper APA formatting, including a cover page, in-text citations, and a reference page. Your finished research paper should be 4-6 pages long.
Submit two files to the drop box:
1. Research paper in Word.
2. Company analysis in your Excel Workbook.