Analysis of Financial StatementsnPrinciples of Financial ManagementnnProfitability Ratios(one slide): Explain profitability ratios, why they are important and what theynmean. Calculate and compare the Profit Margin on Sales, Return on Total Assets and thenReturn on Equity and discuss implications for your company in comparison to itself.nnMarket Value Ratios( one slide): Explain market value ratios, why they are important and what theynmean. Calculate and compare the Price/Earnings Ratio and the Market/Book Ratio and discussnimplications for your company in comparison to itself.n4. Conclusion (one slide)nGeneral conclusions about the company. Do you think it is performing at optimum? Doesnthis company improve their situation during last two years? Is it ahead of itsncompetitor/industry? What changes would you recommend?