Using the financial statements for Tootsie Roll and Hershey located in (answer attached)

Calculate and compare the financial ratios

Using the financial statements for Tootsie Roll and Hershey located in Appendix A and B, respectively, you will calculate and compare the financial ratios listed below for the year ended in 2004.In Word, write a two-page analysis evaluating and comparing Hershey’s and Tootsie Roll’s overall liquidity, solvency, and profitability. In your two-page analysis, assume you are considering investing in one of these companies. The report should be organized into sections and paragraphs with appropriate headings to explain which company you would choose based on your analysis.

Financial Ratio Calculations* A. Liquidity Ratio Current ratio Working Capital Current Cash Debt Coverage ratio Receivables Turnover Ratio Average Collection Period (Average Age of Receivables) Inventory Turnover Ratio Days in Inventory (Average Age of Inventory) B. Solvency Ratios Debt-to-Total Assets ratio Times Interest Earned (Interest Coverage) ratio Cash Debt Coverage ratio Free Cash Flow C. Profitability Ratios Gross Profit Rate Profit Margin Ratio Asset Turnover Ratio Return-on-Assets (ROA) Earnings per Share Payout ratio *Note: If you are unable to locate an item needed for a ratio, make an assumption and make sure you note your assumption in your work.