Case Study 2 Case Study 2 TARGET 10-K REPORT Name 9/21/2019 Case Study 2 Be sure to include a cover page and References page for this assignment. For the publicly-traded company you selected to...

Case Study 2
Case Study 2
TARGET 10-K REPORT
Name
9/21/2019
                        
Case Study 2
Be sure to include a cover page and References page for this assignment.
For the publicly-traded company you selected to evaluate for this course, download their most recent 10K. Include the link to the financial statements as a reference on your References page. I cannot verify your answers without a link to the financial statements.
Answer the following questions in Excel:
Part 1
1) Perform a horizontal analysis of the Income Statement.
2) Create a common-size Income Statement for the most recent year on the 10K.
Part 2
1) Calculate the cu
ent ratio for the most recent year on the 10K.
2) Calculate the quick ratio for the most recent year on the 10K.
3) Calculate gross profit margin percentage for the most recent year on the 10K.
4) Calculate operating expense margin for the most recent year on the 10K.
5) Calculate net profit margin for the most recent year on the 10K.
6) Calculate accounts receivable turnover and days’ sales outstanding for the most recent year on the 10K.
7) Calculate inventory turnover and days’ inventory outstanding for the most recent year on the 10K.
8) Calculate accounts payable turnover and days payables outstanding for the most recent year on the 10K.
9) Calculate the cash conversion cycle for the most recent year on the 10K.
10) Calculate PPE turnover for the most recent year on the 10K.
11) Calculate Return on equity for the most recent year on the 10K.
12) Calculate Return on assets for the most recent year on the 10K.
13) Calculate the total liabilities to equity ratio for the most recent year on the 10K.
14) Calculate the times interest earned ratio for the most recent year on the 10K.
Part III
Prepare a memo reporting on the financial health of your company. Be sure to discuss liquidity, solvency, and profitability.
References:
https:
www.sec.gov/Archives/edga
data/27419/ XXXXXXXXXX/tgt-20190202x10k.htm
https:
corporate.target.com/_media/TargetCorp/annualreports/2018/pdfs/2018-Target-Annual-Report.pdf
Hi MBA Learners, 
Below is some helpful tips:
1) The calculations for this assignment needs to be submitted in Excel as stated in the instructions. I recommend creating a separate tab within Excel to write your memo regarding the performance of your company in terms of liquidity solvency, and profitability. You can just highlight three separate sections - one for liquidity, solvency and profitability.  If you created your memo in Word, you should copy and paste it to Excel after performing a spelling and grammar check in Word. 
2) You can use a cover page in Excel just like you did for the Problem Set.
3) I shared with you a Horizontal Analysis of the Exelixis Income Statement which you can use for a sample. 
4) I shared with you the solution for E2-33 which included a common-size Income Statement. 
5)  You MUST use the ratio formulas provided in Exhibit 4.4 on pages 4-13 and 4-14 of our textbook so we have a common frame of reference. Some textbooks and websites will utilize different variations of the ratios. 
6) You MUST show your work for each of the ratios meaning the numerator and denominator you used for each of the ratios. This is a HUGE advantage for you as I can then provide partial credit. 
7) You need to use the formulas provided in our textbook but a website like Investopedia may be helpful for the memo portion of this assignment. 
8)  You need a separately-titled References page including the link to the most recent 10K in APA format.
9) I asked you to attempt E4-38 which is a ratio problem. I will share the solution tomo
ow.
Please include the link to your company's financial statements.