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FOR THE COMPANY Travelers Companies Inc (TRV) in the industry insurance, run a financial statement analysis to determine whether you will invest in the company as a shareholder. Run the analysis as of 9/30/2022 if fiscal year ends on 9/30. If not, you may use Dec 31,2021 , and prior years. Use at least 4 ratios (must include current ratio, debt-to-equity ratio, and price/earnings ratio) A. The Ratio Analysis Model 1. Formulate the Question How profitable is Panera Bread? 2. Gather the Information from the Financial Statements The profit margin is a measure of a company's profitability. To calculate the ratio, it is essential to know a company's: Net income: From the income statement Net sales or revenues: From the income statement 3. Calculate the Ratio ProfitMargin=NetSalesorRevenuesNetIncome 4. Compare the Ratio with Other Ratios 4. Compare the Ratio with Other Ratios with competitors. 5. Interpret the Ratios A high profit margin indicates that the company is controlling its expenses. This is because revenues minus expenses equals net income; if the ratio of net income to revenue is high, the company is not only generating revenue but also minimizing expenses. Both companies' profit margins indicate that the companies are able to control their expenses while increasing their revenues. Panera Bread's profit margin decreased by 1.1% over the two-year period, while Chipotle's increased by 0.6%. Latest Addition to Index: 6/8/2009 Travelers Companies Inc (TRV) FOR THE COMPANY Travelers Companies Inc (TRV) in the industry insurance, run a financial statement analysis to determine whether you will invest in the company as a shareholder. Run the analysis as of 9/30/2022 if fiscal year ends on 9/30. If not, you may use Dec 31,2021 , and prior years. Use at least 4 ratios (must include current ratio, debt-to-equity ratio, and price/earnings ratio) A. The Ratio Analysis Model 1. Formulate the Question How profitable is Panera Bread? 2. Gather the Information from the Financial Statements The profit margin is a measure of a company's profitability. To calculate the ratio, it is essential to know a company's: Net income: From the income statement Net sales or revenues: From the income statement 3. Calculate the Ratio ProfitMargin=NetSalesorRevenuesNetIncome 4. Compare the Ratio with Other Ratios 4. Compare the Ratio with Other Ratios with competitors. 5. Interpret the Ratios A high profit margin indicates that the company is controlling its expenses. This is because revenues minus expenses equals net income; if the ratio of net income to revenue is high, the company is not only generating revenue but also minimizing expenses. Both companies' profit margins indicate that the companies are able to control their expenses while increasing their revenues. Panera Bread's profit margin decreased by 1.1% over the two-year period, while Chipotle's increased by 0.6%. Latest Addition to Index: 6/8/2009 Travelers Companies Inc (TRV)

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