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Respond to each of the items below. (A 1½-page response is required.)

  1. List the five (5) basic steps in financial analysis.
  2. Why do you believe these steps would be important when conducting a financial analysis?
  3. Provide two (2) examples of liquidity ratios and two (2) examples of profitability ratios. For each, include their meaning and how they are expressed.

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