Instructions Submit Milestone Two: Analysis of Financial Situation for your chosen company. In this milestone, you will examine your chosen company’s financial statements to assess organizational heal

Instructions Submit Milestone Two: Analysis of Financial Situation for your chosen company. In this milestone, you will examine your chosen company’s financial statements to assess organizational heal
OL 501 Milestone Two Guidelines and Rubric Overview: For this milestone, submit the Analysis of Financial Situation for your chosen case study. Use the worksheet provided to complete the analysis of the financial situation. Specifically, the following critical elements from the final project must be addressed: III. Financials – Examine the company’s financial statements to assess organizational health. A. Explain what the balance sheet, income statement, and cash flow statement reveal about how the company is functioning. B. Calculate financial ratios and interpret what those say about the organization’s financial health. Support with specifics. C. Identify the potential problem areas in the company as reflected in the financials. Rubric Guidelines for Submission: This milestone must be submitted using the worksheet provided and must be written in APA format. Use double spacing, 12-point Times New Roman font, and one-inch margins. All references must be cited in APA format. Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value Financials: Statement Examines and correctly reports on what the statements reveal about how the company is functioning Examines and reports on what the statements reveal about how the company is functioning, but the report is not complete or contains inaccuracies Does not examine and report on what the statements reveal about how the company is functioning 30 Financials: Calculate and Interpret Correctly calculates the financial ratios and interprets what those say about the company’s financial health Calculates the financial ratios, but the calculation contains some numerical and/or interpretation inaccuracies of what those say about the company’s financial health Does not correctly calculate the financial ratios and interpret what those say about the company’s financial health 30 Financials: Problem Areas Correctly identifies potential problem areas in the company as reflected in the financials Identifies some potential problem areas in the company as reflected in the financials, but the identification is not complete or contains inaccuracies Does not identify the potential problem areas in the company as reflected in the financials 30 Articulation of Response Submission has no major errors related to citations, grammar, spelling, syntax, or organization Submission has major errors related to citations, grammar, spelling, syntax, or organization that negatively impact readability and articulation of main ideas Submission has critical errors related to citations, grammar, spelling, syntax, or organization that prevent understanding of ideas 10 Total 100%
Instructions Submit Milestone Two: Analysis of Financial Situation for your chosen company. In this milestone, you will examine your chosen company’s financial statements to assess organizational heal
OL 501 Milestone Two Worksheet In this assignment, look at the financial statements of your chosen company and calculate some basic financial ratios to analyze the company’s health and performance. Fill in the table below with information from the financial statements provided in your chosen company’s case study. Calculate the % change between the current year and previous year for each item. Remember to correctly identify the currency for your case study. Most Current Year % Chg (+/–) Previous Year Current Assets Total Assets Current Liabilities Total Debt Sales/Revenue Cost of Goods Sold Inventory Net Income/Loss From the information in the table above, identify which line items are increasing with a plus sign and which are decreasing with a minus sign. Evaluate whether the change from the previous year is good or bad for the company’s performance and explain why. Use the information in the table above to calculate the following financial ratios. Explain what the result of each ratio says about your chosen company’s financial health. Current Ratio Debt to Asset Ratio (Debt Ratio) Inventory Turnover Return on Sales (Profit Margin) Summarize your information and identify potential problem areas as reflected in the financials.