OMM 622 Week 2 Assignment (Financial Decision-Making) Ashford University

OMM 622 Week 2 Assignment (Financial Decision-Making) Ashford University Ford Motor Company’s Balance Sheet A balance sheet provides a picture of a company’s financial health, at a specific date and time. This financial statement is used to show a summary of the company’s assets, liabilities, andequity. An important aspect of the balance sheet is that the total liabilities and equity must equal the total assets (Epstein, 2014); hence the name balance sheet. The purpose of a balance sheet is to provide the public, for example outside investors, an understanding of the company’s financialposition, at that specific point in time (Epstein, 2014). Each of the three segments have several smaller components within them. These account components can vary depending on the type of business (Investopedia, n.d.). A balance sheet can be beneficial in determining the debt to capitalratio and debt to equity ratio. The purpose of this paper is to analyze Ford Motor Company’s 2012 balance sheet and compare the financial ratios with the industry standards