7.6 Solution Template for Ratio Analysis Problem
- For the market ratios below, assume a market price per common share of $10.
- What questions does each of the ratios raise? Name at least one question per ratio.
- This template is made for the typical company, which has no preferred stock. Note that, in completing this worksheet, adjustments will have to be made for Preferred Stock – given our example! See Section #7.8 for assistance in adjusting for preferred stock.
