Unit 2: individual assignment – financial ratios

Directions

· Place your ratio calculations in the PayPal Financial MS Excel on the Ratios sheet for 2013 -2015. 

· Provide the formula used to calculate each ratio in the column to the right of your calculations.  For example, for calculating the Gross Margin for a company, you would enter Gross Profit / Sales (gross profit divided by sales). 

· When calculating values, you should use the SUM function in MS Excel and reference the values directly from the accounting statements provided.  You will find an example for the expectations for calculations and the formulas in the attached file with Gross Margin calculated for 2013 – 2015.