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The Current ratio is one of the best known measures of financial strength.
Learning Objectives
In the Analysis of Financial Statements simulation there are four cycles and each cycle focuses on a specific analysis of a company's performance. The four major learning objectives are financial ratios, notes to the financial statements, non-financial measures, and a final analysis applying all measurements...
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The four major learning objectives are financial ratios, notes to the financial statements, non-financial measures, and a final analysis applying all measurements.
The financial learning objective focuses on comparing financial ratios to the industry average to determine the two company's strengths and weaknesses in leverage (debt-equity ratio), liquidity (cash), efficiency (turnover or productivity measure), and profitability (return on investment)...
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