Financial analysis

(The information for this assignment is being presented in Week 1 to provide you adequate time to complete the assignment by Week 3) Financial managers have the primary responsibility of acquiring and managing capital in a manner that maximizes the value of the firm. Although financial managers often have deep technical knowledge, every business leader should have a fundamental understanding of financial principles to be successful. Financial statements are the “scoreboard” of business. They are used to diagnosis the relative financial health of a business. By having a firm grasp on financial statement analysis, business leaders can identify strengths, weaknesses, and opportunities to implement strategic action plans for improving business performance. As you begin your assignment, due Week 3, imagine you are the new Chief Financial Officer (CFO) of an organization within an industry with which you are unfamiliar. The first priority is to understand the organization’s current financial state, including insight into the relative competitive position within the industry. To aid in this understanding, you decide to conduct a thorough review of your organization’s financial ratios using a combination of internal and external benchmarking to determine the current financial and strategic health of the organization. To prepare: By Day 1, your instructor will have assigned you (via the course messages tool) a specific company within one of the following industries: Oil & Gas Technology Retail Access the resources for this assignment in the learning resources: Spreadsheet containing 3-year organizational financial data for the industry you are assigned Media: Financial Statement Analysis Assignment #1 video Perform the following analyses for your company: 3-year Revenue (using CAGR) and Profit Analysis (Gross Profit) 3-year Capital Efficiency Analysis (ROA) 3-year review of Liquidity (quick ratio) 3-year Operating Cycle (Working Capital) Analysis 3-year review of financial leverage (debt-to-asset ratio) 3-year review of market-based ratios (P/E) 3-year DuPont Analysis Based on your completed analysis, prepare a 10- to 12-page Financial Statement Analysis Report for your company’s CEO, including a spreadsheet showing your calculations, and addressing the following issues: The current financial and strategic health of the organization The relative competitive position within the industry Future risks and opportunities that can be gleaned from the available data Prepare your Financial Statement Analysis Report as a formal business report including the following sections: Executive Summary Company/Industry Background Financial Analysis Recommendations Be sure to support your assignment with specific references to the resources. If you are using additional articles, be sure to provide full APA-formatted citations for your references.