Review McDonald Corp.s 2019 Financial Statements.
1. Compute Working Capital, Return on Invested Capital (ROIC), DSO, DPO, DIO and CCC ratio for 2019 and 2018 and provide analysis and explanation of above ratios and cashflow from operating activities, that impact Companys profitability and liquidity.
2. Provide your comments on how Porters Five Forces impact McDonald’s business
Rivalry among Existing Firms
Threat of New Entrants
Threat of Substitutes
3. Provide your comments on how following steps of the financial statement analysis impact the company?
· Identify the economic characteristics of the industry in which the firm operates.
· Identify the firms strategies to gain and maintain competitive advantage in its industry.
· Analyze the current profitability and risk of the firm.