Shadracks or Brighams
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You and your best friend have decided to quit your jobs, turn in your retirement, and purchase your own restaurant. In your market area there are a lot of restaurants, and you've looked at several that were available for sale. You have narrowed your choices to either Shadracks or Brighams. From you and your friend's experience, both restaurants have good food, and generally good service. The owner of Shadrack's says that he and his wife want to retire and move to Key West. The owner of Brighams indicates that he is tired of the long hours, and has accepted a salaried position with his old employer, IBM. Both restaurants have provided you with a year-end balance sheet and income statement (below).
Prepare a paper on your analysis and recommendations regarding the following questions. (You must choose one or the other of the two restaurants to purchase):
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Solution Summary
Various financial ratios were calculated to decide between Shadracks or Brighams.
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