1. Please answer each question separately under the question.
2. Writer need to address the issue
A) Choose a line item from the Income Statement and describe it in detail. What insights could be drawn from this and the “Notes to the Financial Statement”?
What was the trend? What does this mean for the organization (what steps might management need to take, how does it impact overall strategy)?
B) Choose a financial ratio that applies to the Income Statement (eg Return on Sales, EBITDA, etc.). Describe the ratio. What does the ratio measure? Is a large number good or bad? How is it trending? What does you analysis indicate about the company (what steps might management need to take, how does it impact overall strategy)?
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