Evaluation of the relationship between profitability and liquidity

ASSIGNMENT QUESTION Select a company from any sector (excluding finance) of Bursa Malaysia’s main market. Evaluate the company’s profitability and its relationship with liquidity based on the financial statements for years 2011 to 2015. - The purpose of this assignment is to enhance learners’ analytical skills in evaluating firms’ profitability and its relationship to liquidity. - The assignment question requires your strong knowledge and skills on FINANCIAL RATIO ANALYSIS which learned from Financial Management I - Liquidity Ratio (pg 54 to 57) & Profitability Ratio (pg 69 to 73) and Financial Accounting - Liquidity Ratio (pg 239 to 240) & Profitability Ratio (pg 243 to 246). - Please visit the Financial Management I and Financial Accounting module/notes for Financial Ratio Analysis. - Focus on PROFITABILITY RATIOS and LIQUIDITY RATIOS. Assignment Requirement: - Selected company is Bonia Corporation Berhad Part 1 : Introduction of the selected company. - 360 words Provide very clear description of the company’s background and business activities. Part 2 : Calculation of relevant liquidity ratios. - 720 words Compute all three liquidity ratios correctly to reflect the company’s liquidity position. Detailed workings provided. Part 3 : Calculation of relevant profitability ratios. - 720 words Compute all three profitability ratios correctly to reflect the company’s financial performance. Detailed workings provided. Part 4 : Evaluation of the relationship between profitability and liquidity. - 840 words Provide very clear evaluation of the relationship between profitability and liquidity was given. Part 5 : Conclusion. -360 words Provide very clear conclusion that relates to the analysis and evaluation.