In this paper we will discuss ratio analysis of Face-book with its industry.
Discussion
Liquidity Ratios
The liquidity of the Facebook has been increasing in last five years from 3.72 to 5.12. The current ratio and Acid test ratio demonstrate the short-term liquidity picture of the company which is doing well comparing from the last year. The acid test ratio is below the lower median for the industry average which is weakness for a company and unattractive for the investors. The current ratio is between the lower and medium quartile and ...