heckpoint

Starbucks is the company I have chose for this work. The pertinent statistics for this piece are as follows. During 2008 Starbucks maintained a current ratio of .7983. During 2007, their current ratio was .7870. In 2008, their quick ratio has fallen by 10% to .2977 from .3971 in 2007. Their debt ratio in 2008 is .4391, derived from total assets in 2008 of 5,672,600,000 with total debt being 3,181,700,000. Comparing this to a debt ratio for 2007 of .4274 where the total assets were 5,343,878,000 and the total debt was 3,059,761,000, I would make the assessment that Starbucks is financially sound.

Their profit margin has fallen by 4% over these two years. Net income for 2008 was 315,500,000, whereas it was 672,638,000 in 2007. This is a remarkable decline. ...