2017 2016 Current Ratio Ratio Analysis

2017 2016 Current Ratio Ratio Analysis

Resources: Generally Accepted Accounting Principles (GAAP), U.S. Securities and Exchange Committee (SEC)

Tutorial help on Excel® and Word functions can be found on the Microsoft® Office website. There are also additional tutorials via the web offering support for Office products.

Scenario: You are a loan officer for White Sands
Bank of Taos. Paul Jason, president of P. Jason Corporation, has just
left your office. He is interested in an 8-year loan to expand the
company’s operations. The borrowed funds would be used to purchase new
equipment. As evidence of the company’s debt-worthiness, Jason provided
you with the following facts:

2017 2016
Current Ratio 3.1 2.1
Asset Turnover 2.8 2.2
Net Income Up 32% Down 8%
Earnings per Share $3.30 $2.50

Jason is a very insistent (some would say pushy) man. When you told
him you would need additional information before making your decision,
he acted offended and said, “What more could you possibly want to know?”
You responded you would , at minimum, need complete, audited financial
statements.

Develop a minimum 700-word examination of the financial statements and include the following:

  • Explain why you would want the financial statements to be audited.
  • Discuss the implications of the ratios provided for the lending
    decision you are to make. That is, does the information paint a
    favorable picture? Are these ratios relevant to the decision? State why
    or why not.
  • Evaluate trends in the performance of P. Jason Corporation. Identify
    each performance measure as favorable or unfavorable and explain the
    significance of each.
  • List three other ratios you would want to calculate for P. Jason
    Corporation, and in your own words explain in detail why you would use
    each.
  • As the loan officer, what else would you do to gain a better
    understanding of Paul Jason’s, and the Corporation’s financial picture
    and why?
  • Based on your analysis of P. Jason Corporation, will you recommend
    approval for the requested loan? Provide specific details to support
    your decision. Format the assignment consistent with APA guidelines.

Resources: Generally Accepted Accounting Principles (GAAP), U.S. Securities and Exchange Committee (SEC) Tutorial help on Excel® and Word functions can be found on the Microsoft® Office website. There are also

Calculate your order
Pages (275 words)
Standard price: $0.00
Client Reviews
4.9
Sitejabber
4.6
Trustpilot
4.8
Our Guarantees
100% Confidentiality
Information about customers is confidential and never disclosed to third parties.
Original Writing
We complete all papers from scratch. You can get a plagiarism report.
Timely Delivery
No missed deadlines – 97% of assignments are completed in time.
Money Back
If you're confident that a writer didn't follow your order details, ask for a refund.

Calculate the price of your order

You will get a personal manager and a discount.
We'll send you the first draft for approval by at
Total price:
$0.00
Power up Your Academic Success with the
Team of Professionals. We’ve Got Your Back.
Power up Your Study Success with Experts We’ve Got Your Back.

Order your essay today and save 7% with the discount code ESSAYHELP7