Requirement 1:
Evaluation of company’s stock as investment: In general, financial ratios are used to evaluate capabilities, profitability, and overall performance of a company. The following are the ratios that evaluate the company’s stock as investment.
Financial Ratios: Financial ratios are the metrics used to evaluate the capabilities, profitability, and overall performance of a company.
To Compute: The ratio for 2018 and 2017.
Requirement 2:
a.
To Decide: Whether D has the ability to pay the debt.
b.
To Explain: Whether the common stock increased or decreased due to attractiveness.
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Horngren's Financial & Managerial Accounting, The Managerial Chapters, Student Value Edition Plus MyLab Accounting with Pearson eText -- Access Card Package (6th Edition)
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