COVENANT FINANCIAL ANALYSIS
Using the financial information in Covenant’s most recent answer the
following questions.
0 What are the key financial metrics on which Covenant’s executives should focus
when evaluating the firm’s performance? Why did you select these as the key metrics?
(There should be at least 8-Iikely more-and they will probably come from the income
statement and balance sheet or the intersection of the two.)
0 Using the metrics above, calculate these metrics for the last 3 fiscal years. Compute
last two years for balance sheet only metrics- You must show your calculations. If
Return on Invested Capital is not listed above, include its calculation. Compare these
metrics to industry and/or its competitors. Considering these calculations and analysis,
what insights do you gain?
0 Based on this financial analysis, what are the primary financial issues Covenant
executives must address to ensure financial success?
0 Submit your analysis in a Word document, not exceed 2 pages If you use Excel for
the calculations, paste the worksheet as an Excel object in an appendix to your
assignment, so I can see the calculations- Calculations and other appendices do not
count toward the two-page limit- Do not submit two documents