Due Week 4 and worth 200 points This is your second interview with a prestigious brokerage firmfor a

Due Week 4 and worth 200 points This is your second interview with a prestigious brokerage firmfor a job as an equity analyst. You survived the morning interviewswith the department manager and the vice president of equity.Everything has gone so well that they want to test your ability asan analyst. You are seated in a room with a computer and a listwith the names of two companies – Ford (stock symbol F) andMicrosoft (stock symbol MSFT) and are asked to do the followinganalysis including computing stock ratios for F and MSFT, comparingand contrasting those ratios, and analyzing the performance of thestocks versus the industry averages. Complete the following tasks and write a four- to five-pagereport on your findings, including the analysis in Questions 2 and3 below. 1. Compute ratios by following the belowdirections: Navigate to Morningstar (http://www.morningstar.com/). In theQuote box at the top of the page, enter each stock symbol, chooseyour companies, and click on the Financials tab. You will seeunderneath Financials tab the three financial statements (IncomeStatement, Balance Sheet, and Cash Flow). An Export button is tothe far right. Download the income statement and balance sheetfinancial statements for each company. Next, you will need historical data for each stock. Navigate toYahoo! Finance (https://finance.yahoo.com/), enter each stocksymbol, click on Historical Data, and select ending date of themost recent full reported year (for example, if the incomestatement ending is December 2016, select December 30 to 31, 2016).Note the company’s stock closing price for the last day of thefinancial statement reporting period you will use for thisassignment. To determine each organization’s market capitalizationat the closing date of the most recent annual statements youdownloaded from Morningstar, multiply the number of sharesoutstanding by the stock price you obtained from Yahoo! Finance.Use the number of shares outstanding by using Basic under WeightedAverage Shares Outstanding on the income statement you downloadedfrom Morningstar (remember, the share value will be in millions ofshares so make the adjustment by adding 0s). Compute the following ratios for F and MSFT (refer back to Week1) for the most recent year of financial statements downloaded fromMorningstar: Price-earnings ratio (for EPS, use diluted EPS total) Market-to-book ratio (aka price-to-book ratio) Operating margin Net profit margin Return on equity Current ratio Quick ratio Debt-to-equity (for debt, use long-term debt) Obtain industry averages for each company by going to Reuters(http://www.reuters.com/finance/markets). Click the magnifyingglass search icon, enter each company’s name, click on Companies,select each company, and then the Financials tab. Scroll down underValuation Ratios and each ratio you calculated to the industry(ignore the current company ratios as these are not the same as youcalculated). 2. Analyze the performance of each firm versus theindustry, and comment on what you find in terms of strengths andweaknesses. 3. Compare and contrast the ratios for F andMSFT. What might explain the differences between them? Would you recommend investors buy, hold, or sell F and MSFT,based on your analysis? Your assignment must follow these formattingrequirements: Typed, double spaced, Times New Roman font (size 12), one inchmargins on all sides, APA format. Use headers for each of the subjects being covered, followed byyour response. In addition to the four to five pages required, a title page isto be included. The title page is to contain the title of theassignment, your name, the instructor’s name, the course title, andthe date. The specific course learning outcomes associated with thisassignment are: Formulate approaches to current asset management, capitalbudgeting, financial structure, dividend policy, long-termfinancing, and mergers. Analyze approaches to current asset management, capitalbudgeting, financial structure, dividend policy, long-termfinancing, and mergers. Write clearly and concisely about financial management usingproper writing mechanics. . . .