Accounting Assignment
i. What is measured by profitability ratios? Give an example of how you compute EPS and discuss how it is used to measure profitability.
ii. Define liquidity and solvency. Identify ratios for analyzing a firm's liquidity and solvency. How are these ratios interpreted?
iii. Use the statement of cash flows to evaluate solvency. Give an example of how to compute free cash flow and describe what it measures.
iv. What are generally accepted accounting principles? Name the U.S. and international standard-setting bodies that establish these principles.
Format your assignment according to the following formatting requirements:
i) The answer should be typed, using Times New Roman font (size 12), double spaced, with one-inch margins on all sides.
ii) The response also includes a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
iii) Also include a reference page. The Citations and references must follow APA format. The reference page is not included in the required page length.