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Explain how each of the ratios within that class is calculated and how they are used to analyze financial statements.

Course Requirement:
Write a paper on a class of financial ratios we have studied in this course. (Select profitability, solvency, or liquidity ratios to discuss in depth.)

Select a Ratio Class (do not write about all three):
– Profitability
– Solvency
– Liquidity

1. Explain how each of the ratios within that class is calculated and how they are used to analyze financial statements.

2. Select a recently filed set of financial statements and calculate the ratio for that company. Explain what this ratio tells you about the company.

Requirements:
Length: 3 pages
Source: 4 scholarly references to support your views

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