Essays on Financial Health

The FA

The FA i.e. The Football Association refers to the English football’s governing body, which was established in 1863. Ebenezer Morley is considered the father of The Association. The activities of the company include overseeing, promotion and development of the game at different levels like The FA Cup and England International Teams. The activities also include broadcast and media rights, sponsorship, licensing, merchandising along with sales of tickets (The Bloomberg, 2017).

Financial Position of the FA

Current position with respect to financials of the company as on 31st July 2015 provided an overview of that the company is continuously striving to generate commercial revenues ...

This paper is a review of the book titled, Finance for nonfinancial managers: 24 lessons for understanding and evaluating financial health, by Katherine Wagner. The book will help managers from non-financial background to understand the languages and techniques used in finance. It can enhance the participation of these managers in financial matters and decision making. Complex financial lessons are presented in a form that could be understood by people from non-financial backgrounds. (Wagner, 2005) The first chapter of the book reviews basic terms used in recording, classifying and summarizing financial transactions. Knowing these terms will help the manager to ...

MANAGEMENT ACCOUNTING

Standard Costs Used for Variance Analysis and Favourable/Unfavourable Terminologies with Suitable Examples 8

References 11

Management Accounting Differences between Management Accounting and Financial Accounting and the need for Investing in the latest Accounting Software Audience Served The basic difference between these two accounting fields is that the management accounting is concerned with providing information to internal stakeholders of an organisation such as the senior management, supervisors and employees. In contrast, financial accounting provides information about the financial health of the business to external stakeholders such as potential investors, shareholders (in case of a publicly traded company), tax authorities, lending institutions and ...

Ratio Analysis

Ratio Analysis Ratio analysis is the crucial part of financial analysis in general, that allows assessing the company’s financial health from different aspects. The aim of this report is to conduct the ratio analysis of Franklin Community Hospital financial statements, including four main groups of ratios: liquidity ratios, profitability ratios, activity ratios and capital structure ratios. However, just calculating the ratios is not enough; the analysis would be incomplete without comparing the results to the standards. Thus, the report contains the calculation of the ratios, discussion of the dynamic and conclusions regarding the financial performance of the hospital.

Liquidity

...

AMAZON. COM

Financial Analysis Amazon.com Financial statement is the main source of the data that allows to assess the financial health of company. This is important as for external (potential investors, counteragents) as for internal (managers, shareholders) users. Ratio analysis is the important part of the assessment. However, this is not enough to make precise conclusions. The next crucial step is to compare the company’s ratios to industry benchmarks, because every industry has peculiarities in structure of assets, investment strategies etc., and what is appropriate for one industry might be the worrying sign in another one. For example, investment projects ...

Introduction

This paper seeks to conduct an in-depth financial analysis for the hypothetical entity Horniman Horticulture with a specific focus on highlighting the overall financial health and performance of the business over the period between 2002 and 2005. The analysis will be centered on selected ratio analyses, increasing and decreasing financial situations over the periods and situation analysis. Over the period under review, the financial performance of the business has exhibited various trends evidenced by the results reported for each year. For instance, the total annual revenues for the business have gradually increased over the four-year period from $ 788,500 ...

Working capital is a measure of liquidity. Through working capital measurement, one is able to ascertain a company’s both financial health and short-term efficiency. Working Capital is calculated by subtracting the organization's current liabilities from its current assets. Also known as the working capital this ratio is able to portray the ability of a company to cover its short-term debts. The working capital can be a positive or a negative number; a positive number indicates good financial health and the company can adequately cover its short-term obligations while a negative figure indicates that the company is struggling to ...

Introduction

The tire is primarily the only part of a car that is in touch with the road. A balance must strike among traction, durability, overall, energy efficiency and comfort by the tire in cars. Due to all these factors, the designing and manufacturing of a tire is a complex process as compared to what is generally perceived . Headquartered in the region of Clermont-Ferrand, France, the Michelin Tire Manufacturer is available in around 170 countries. It has more than 112,000 employees who work in various departments of the company. The company has a total of 68 production plants in ...

MANAGEMENT ACCOUNTING – COST CLASSIFICATION, VARIANCE ANALYSIS AND BUDGET PREPARATION

Executive Summary 4 1. Management Accounting, its Importance and Comparison to Financial Accounting 5

Management Accounting versus Financial Accounting 5

2. Different Classifications of Costs (Types, Behaviour, Function and Relevance) with Examples 6 a. Cost Classification by Behaviour 6

Semi-Variable Costs 7 Variable Costs 7 b. Cost Classification by Function 7 c. Cost Classification by Relevance 8 3. Variance Analysis Commonly Derived Variances, Problems and Limitations 9 a. Commonly Derived Variances 9

Material Cost Variance 10

Labour Cost Variance 10 Overhead Variance 10 Controllable Variance 10 b. Problems and Limitations of Variance Analysis 11 4. Different Operational Budgets and their Advantages 11 a. Master Budget 11 b. Operating Budget ...

- Introduction

This paper is a financial analysis of General Electric (GE) Company. GE is a multinational conglomerate company incorporated in the New York, United States. The four main segments of the company include; capital finance, technology, consumer & industrial, and energy. There are many products and services the company offers but within the named categories. GE is ranked among the top ten largest firms in the US in terms of gross revenue. The 2011 annual reports of GE reported a total asset base of $ 717,242 million and $ 66,875 million in revenue.

GE has been selected as a point because of the diversity ...

A proposal is a clear and understandable well documented presentation on how to approach a problem. In the case of IRFC as they look into vendors for the different functions including a new system for billing goods. In order to find the best the company has issued a technical approach as to ways in which they can find the best vendor for the services by outsourcing. In outsourcing of a vendor the company will require to provide different requirements in approach to the needs or requirements of the proposals.

Understanding of the customer needs- in order to qualify the proposal has it be well ...

Chart of accounts refers to list of accounts used by businesses and organizations to identify the various class of items for which money is spent or received,its mainly used to organize finances of a given business entity and to segregate revenues and expenditures,assets and liabilities in order to give stakeholders and interested parties a better understanding of financial health as well as assisting investors in decision making.In chart accounts each nominal ledger account is unique to facilitate ease of identification,it consists of profit and loss statement which basically indicates the performance of a business entity in regards to a given ...

Question 1

The Ford Motor Company, a global American multinational automotive and an automaker leader based in Dearborn, Michigan produce and distribute automobiles across six continents. The company’s establishment dates back to the year 1903 by Henry Ford. It is the fifth largest motor company in the world. The company has about 163,000 employees and approximately 70 plants globally. The main automotive brands for the company include Ford and Lincoln. In addition, the company provides financial services via Ford Motor Credit Company (Ford Motor Company, 2012).

The company is fascinating to study as it has expanded becoming one of the ...

Executive Summary

This paper tries to conduct a comparative portfolio analysis for Microsoft Corporation, based on the most recent Annual 10-K Filings made by the company to the Securities & Exchange Commission for FY2011. The base year chosen is FY2010, so as to allow for a clear comparative depiction of both current & historical performance. The analysis, based on the study of the Income Statement, Balance Sheet, Statement of Cash Flows, & Statement of Changes in Stockholders’ Equity, quantifies the annual performance using the most important accounting ratios that provide a summarized diagnosis of the overall current financial health of the software giant, and a ...

Company: Diageo Plc

Industry: Alcoholic Beverage Industry Diageo Plc is a British, multinational alcoholic breweries manufacturer. The company is headquartered in London, United Kingdom and the primarily operations of the company are related to the manufacturing of alcoholic breweries which includes, wine, spirit and beer. With the market capitalization of $78 Billion, it is the eight largest company registered on the London Stock Exchange.

Diageo is also a proud owner of the leading brands in the alcohol industry as Smirnoff, Johny Walker and Guiness.

Stock Exchange Listing/ Stock Market Activity: Diageo Plc is registered on London Stock Exchange under the ticker symbol of ‘’DGE’’. With the average volume of 622,398 shares, the company stock price is in the increasing trend. ...

Introduction:

Bank of America is a Multinational Banking and Financial Services company headquartered in North Carolina. The Bank operates in 50 states of The United States and 40 countries around the world. The corporation came in news when it bought Merill Lynch during the financial crisis of 2008 and made it the world’s largest wealth management company. However, in order to undertake an indepth view of the corporation’s financial health, we will be conducting ration analysis of its financial statements.

Ratio Analysis

Regulatory Capital Adequacy Ratio Analysis: Capital Adequacy ratios are calculated specifically for the banks and financial institutions. The ...

Introduction

Economics is the name of earning and utilizing the money at a place from where the likelihood of earning would be on a higher place. Adam Smith and Alfred Marshal are known as the Father of Economics (FOE) and according to them, Economics is the subject which stated that how to earn the money and how to consume it . There are two different kinds of economics, which particularly are Macroeconomics and Microeconomics. Microeconomics is the name of economics which relate to individual economics, while the economics concerned with the economy as a whole is known as Macroeconomics. It is one of ...

Britvic Company Financial Analysis:

Introduction: With operations in prominent countries of Europe like the Great Britain, Ireland and France, Britvic is renowned as one of the leading soft drink companies in the whole of Europe (Marketwatch.com, 2014). The Company has been able and successful in setting up a definite portfolio across the markets where it operates. The brands of the Company that have captured its own market include Robinsons, Tango, J2O, drench, MiWadi, Ballygowan, Teisseire and Fruité. The Company also produces and sells famous drinks of PepsiCo Company such as Pepsi, 7UP and Mountain Dew Energy, in Britain and Ireland, as per ...

Executive Summary

Lego Corporation is one of the oldest toy companies in the world. Its history can be traced back to as early as 1916. It has been largely known for its Lego Bricks, one of the most popular and profitable toys that company has ever released. Recently, however, the company has started to show signs of deterioration, mainly because of laggard growth in the industry and poor sales from its frequently diversified toy products. The objective of this paper is to discuss the different points of analysis applicable to Lego Group’s toy division and some alternative options or steps ...

Horizontal and Vertical analysis are two of the methods used by the finance analysts to determine the financial health of company. These two approaches are used to tell the users of these financial analyses how well the company is performing in terms of its own performance from one period to another. It immediately tells the analysts if there has been any performance decline in the company from one year to another. Vertical analysis tells each item in the balance sheet as a percentage of total assets. For e.g. if account receivables are $25,000 and total assets are $100,000, ...

Alaska Airlines is considered as one of the best airlines in the world few years ago and was thought that it would overtake other airlines in the race of supremacy. However, the problems at the company have restricted its growth, and Alaska Airlines have not managed to achieve its potential. The most disturbing problem that the company is facing is its inability to use new and advanced technology. As a result of which, the company has not been able to exploit the benefits of news technology. The company has to face high costs in mechanical repairs and employee tracking. There ...

Before choosing whether to invest in real estate or stock, one has to weigh the pros and cons. The Condo that Rich and Kim wish to invest in is real and tangible. Real estate investment has had an average return of around 8.6% in the past years. Real estate has generated a wealth and long-term appreciation for many people. The benefits of investing in real estate include a tax deduction and the chance to sell the property through the 1031. One does not pay for capital gains when the money is invested in a similar kind of stock. The drawbacks of real ...

Overview of the Case

Yahoo Inc. Yahoo Inc. is one of the world´s leading technology companies, which declared overall sales revenue of USD$ 4.7 billion. The company operates fifty small and medium size brands under the Yahoo Inc. umbrella and employs over 14,000 individuals in more than 60 global locations with 30% of the staff located at the company´s headquarters (HQ) in Sunnyvale, California. While today the company is considered one of the leading internet service providers, such as search engine, internet portal, email and other related services, competitive market environment places a lot of pressure on continuous innovation and ...

Company Overview

Sony Corporation is among the largest manufacturers of consumer electronics products in the world. The company engages in the design, development, manufacture, and sale of various types of electronic instruments, equipment, and devices for consumer, industrial, and professional markets. Primarily, the company operates in Asia, Middle East, Africa, Europe, and America. The company also distributes gaming software and hardware ('Sony Corporation SWOT Analysis' 2013, p. 3). The company does the distribution, manufacture, and broadcasting of image-based software such as motion picture, television products, and recorded music. The company’s manufacturing facilities are mainly located in Asia, but the company ...

Executive Summary

Company A and company B have very similar as well as very different financial statements. Both the companies are showing positive sales growth. While company A seems to be growing at a very high pace, company B is growing at a steady but slow pace. However, even upon growing at a higher pace company A’s profit has declined due to not being able to manage the input cost for production appropriately (cost of goods sold). On the other hand company B is also feeling the impact of the increasing input cost but it has managed it better than Company A and ...

Is Yahoos Business Model Working in 2011

Introduction In the year 2006, Yahoo! was the top most visited social website in the world with an average of 144 million users per day. The company managed to generate a lot of revenues during this time because there was limited competition and people were eager to join web portals for socialization. As the years went by, other Web Portals emerged and Yahoo faced stiff completion from Google and Facebook making it rank number three in 2010. In addition, Yahoo’s market share decreased dramatically by almost 18% leading to an average stock price of 15 dollars in 2011. ...

Executive Summary 3

Sony's financial statements analysis 4 Sony's financial ratio trends analysis 6 Stock data 11 Recommendations 15

References 18

Executive Summary Sony Corporation is a conglomerate based in Konan Minato in Tokyo, Japan. It is one of the leading electronic companies in the globe and specializes in the production of electronics both for consumer and professional business. The business has diversified its scope of operations over the years and currently also deals in financial services sector, entertainment and gaming. It was founded by co-founders namely Akio Morita and Masaru Ibuka in 1930s. Since its inception, the business has grown ...

For the purpose of our analysis, we will be using the financial statemenst of Starbucks Incorproation while for accomodating peer review, we would analyze Mc Donalds. The concerned industry of both the companies is of Specialty Eateries.

Introduction:

Starbucks Incorporation is a well known premium coffee chain around the globe. The company is listed on New York Stock Exchange under the ticker symbol of ‘’SBUX’’. Starbucks Corporation operates around 60 countries around the globe and is known for niche prices in the coffee business. Apart from coffee, company also serves tea and other beverages.

Reason for choosing Starbucks Corporation:

Starbucks is a well established coffee brand and ...

Comparing Aon Inc. and TRV

Product Markets and Trends Travelers Insurance is primarily engaged in the US insurance markets through its subsidiaries. According to the 10-K forms of the SEC, they face two main elements and activities – the entrance into the insurance markets and undertaking commercial and personal property and casualty insurance products to businesses, government units and individuals. Aon on the other hand, has a split of its assets and resources between Risk Solutions and Human Resource Solutions. The Risk Solutions accounted for about 66% of the total revenue whilst the Human Resource Solutions was responsible for 34% of the firm's revenue ( ...

[Author’s Name] [Institution’s Name]

Introduction

The main perspective of this assignment is to analyze the two different jobs from different standpoints in total. Obviously, it is important to consider the things effectively and move with a perfect pace. In the next section, we will start the conversation with financial analysis, opportunity analysis, their linkage and then the personal finance comprehensively. The two jobs which have been selected for the same purpose are Financial Analyst and Opportunity Cost Analyst and different provisions would have been taken into account to complete this particular job in a perfect manner.

Main Body

Education At ...

(Professor Name)

Financial Analysis: Tiffany and Company Tiffany and Company is a multinational Luxury jeweller and Speciality Retailer. The company has its headquarters in New York City and the product line includes: - Jewellery - Fragrances - Sterling Silver - Crystal - Leather Goods - Personal Accessories The company is known in particlaur for it sluxury ornaments particularly diamond jewellery. As for its listing, company is listed in New York Stock Exchange under the ticker of ‘’TIF’’.

Extracts from Financial Statements:

Basic Fundamentals: Current Market price: $88.04 Market Capitalization: $11.26 Billion Beta: 1.72 ...

[Your full name: first name, middle initial(s), and last name. Do not use titles (Dr.) or degrees (PhD). There is no doubt that balance sheet analysis is an important thing to be done in finance and this is helpful for the financial institutions, investors, share brokers, investment bankers, and other stake holders as well. This analysis will assist stakeholders to verify that company is doing well and make investment decision. This review will reflect the financial health of the company and comparative analysis of balance delivers an over-all hint of performance of the company. - The ...

It is rather difficult for businesspeople to make informed and wise decisions involving the risks, opportunities, and profitability of their ventures unless they have knowledge on the right tools and techniques to utilize. Entrepreneurs and corporations alike need not worry though because they are always take advantage of financial statements whenever they feel the need to examine the performance of their respective enterprises. Through income statements and balance sheets, for instance, businesses can immediately assess their profits, losses, assets, liabilities, and net worth at a given time. Nevertheless, evaluation of companies’ performance should never be limited with these fiscal records ...

Tiffany and Company is a multinational Luxury jeweller and Speciality Retailer. The company has its headquarters in New York City and the product line includes: - Jewellery - Fragrances - Sterling Silver - Crystal - Leather Goods - Personal Accessories The company is known in particlaur for it sluxury ornaments particularly diamond jewellery. As for its listing, company is listed in New York Stock Exchange under the ticker of ‘’TIF’’.

Tiffany and Company was originally founded in the year 1837 in New York where it carried out the business of ‘’Stationery and Fancy ...

Question 1: Please prepare a comprehensive SWOT analysis for Ford Motor Company

Ford Motor Company Ford Motor Company is considered as the market leader in the automotive industry. It is also one of the first American automotive companies that even today are successfully manufacturing and selling automobiles, trucks, busses and automotive parts all over the world. The company sells commercial vehicles under the brand name, Ford while luxury cars come under the Lincoln brand. The company has become the second largest U.S. car manufacturing company and fifth largest vehicle manufacturing company in Europe and the world (Jurevicius, 2013). In the year 2008, the company had employed around 213,000 employees ...

Analysis of Cash Flow Statement

Cash Flow From Operating Activities: i)Richmond Football Club: The operating cash inflow for the company during 2012 was $3451373 with an increase of 20.54% compared to 2011. The increase was attributed primarily to increase in earnings from operations of the company during the year that included receipts from football operations which stood at $14296030, Receipts from market Operations which amounted to $19404901 and finally receipts from Gaming and Other Social Operations that amounted to $3774743. However, a substantial decrease in contribution from Jack Dyer Foundation Group and Interest received, offset some percentage of increase in operating cash flows ...

Part I

1. Time value analysis is the concept implemented when there is a necessity to identify future value of one unit of a currency supposed to be received in several years or the amount of money supposed to be received in future from one unit of currency invested today. The basic concept of time value of money analysis is that the value of alternative investments depends on the time when they will be exchanged. Interest rate may not cover inflation rate contributing to the differences between the present and future values of investments (Khan Academy, 2013). Time value analysis is a tool ...

1. Human Resource Management - Recruitment Managing human resources is responsible for outplacement, record keeping, labor compliance, compensation, benefit administration, testing, and recruiting new member of the organization (Restaurantcentral.ca, n.d.). Recruitment process in particular is needed in order to pool in competitive individuals to fill in the key positions and perform specific function for the organization. Relatively, Hundredth Monkey, the group’s start-up business project would also need to establish its own recruitment model to be used as a standard recruitment process for the company. In terms of recruitment Hundredth Monkey will follow a particular model that incorporate the elements ...

Personal Finance

Personal Financial Plan Introduction A person’s financial success is determined by his ability to allocate and utilize his own financial resources. Planning is an integral part of every person’s future aspirations for a better life even retirement. However, financial planning is not as simple as outlining the current personal assets versus liabilities because similar to business financial planning it also considers both external and external environmental attributions. Internal factors vary from risk tolerance, projected financial situation, discipline, goals, spending, saving and investment patterns and consumption. On the other hand, external factors include social, legal, political, taxation ...

Tesla Motors Incorporation is a company located in Silicon Valley. The company develops, produces, and sells electric vehicle powertrain elements and electric cars. In addition, the public company uses the symbol TSLA while trading on the NASDAQ stock exchange. Tesla Motors attained extensive attention by manufacturing the Tesla Roadster. This was the foremost complete electric sports car. The company has situated itself among the leading actors in America’s motor vehicle sector (Garcia-Valle and Lopes 33). This paper is a case study of Tesla Motors Incorporation and will look at the company’s objectives, customer scenario, Identifications of the nucleus of ...

- Introduction The financial comparison herein involves two UAE based telecommunication companies. These are the Emirates Integrated Telecommunications Company (EITC) and Etisalat (Emirates Telecommunications Corporation). The companies have been selected because of their diverse financial outcomes experienced in the same financial environment. - Emirates Integrated Telecommunications Company (EITC) EITC is a telecommunications company based in the UAE. In 2006, the company was rebranded to Du but retained its legal name as Emirates Integrated Telecommunications Company (EITC). It commenced business in 2006 by providing mobile and fixed telephony, IPTV services, and broadband connectivity to businesses, homes, and individuals. ...

Different companies have the obligation of keeping well organized books of account that present the fair and true view of the financial status of the company. Additionally, as a condition, they must disclose the details of their operating accounts during the stakeholders’ Annual General Meeting. They are as well required to attach the copies of such accounts to their annual returns. Similarly, they must observe certain rules while presenting their reports. This paper gives a report on the interview the author of this paper had with the Chief Finance Officer of Africa Development Bank. In particular, the interviewer restricted himself to ...

There is a need to enhance Forensic accounting is an important field in management of businesses. Our company has forensic accounting in place. Our forensic accounting services provide the insights needed to resolve disputes, recover from losses, and manage risks intelligently. There are various services that we provide in our company. These areas include:

Dispute advisory, in which we can assist with discovery, expert witness testimony, and economic analysis.

Construction consulting. This service helps our clients understand why large-scale construction projects fail to meet schedule or budget requirements. Offering general investigative and forensic accounting services, including fraud detection, and proof of loss analysis. All these are important services that make our company running. ...

Introduction

Revenue recognition is an accounting principle which stipulates the exact time on which revenues from an activity can be recognized in the financial statements of a company. According to this principle, the appropriate time for revenue recognition is when the service has been rendered, as opposed to when the revenue is collected from the client. Explained in practical terms, Trackon ltd, company that sells consumer goods and commits to a transaction in the last month of an accounting year, whereas the revenues are collected in the next accounting period, in the books of account Trackon ltd will record the income in ...

Workshop Summary

Making decisions on the financial health is very crucial; this is because financial strength and proper understanding of credit score will flourish most aspects of human life. Three individuals, whereby they elaborated on various aspects of credit score, credit controls, student loans, mortgages, as well as securities, carried out the presentation. Each of the three presenters had worked for different years. Credit scores as per the presenters refer to the numerical expressions that represent the creditworthiness of an individual, which is based on statistical analysis of credit files of a person. Primarily, a credit score is based on information found in ...

Report on Understanding Your Credit Score

Understanding various issues pertaining credit score is very crucial. Certainly, the workshop focused mainly on understanding individual credit score. The main speaker during the workshop was Mr. Quinton Harris, who came from the Bank of England. Additionally, individual who had worked for different no of years, implying their personal experience in the field, gave the presentation. The first individual has been working for ten years, the second as also worked for approximately ten years, and the third person worked only for a year. Therefore, their presentations were focused on answering various questions, which included the meaning of credit score, bureaus ...

Financial statements are basically records that indicate a business or organizations financial status. In essence, they quantitatively report on company’s financial health. Financial statements are normally prepared quarterly or annually. In the accounting profession, there are basically four financial statements that have to be prepared and maintained. These are Income statement, balance sheet, cash flow and statements of retained earnings.

Purpose of the financial statements

Income Statement

The income statement reports on the primary yardstick of business performance, net income. While the common term used is profit, accountants normally prefer to use the term net income. It actually shows the revenues the company has ...

Personal Reflection

The movie was a real eye opener for me. Until I saw it, I never really understood what happened to cause the 2008 meltdown. I never understood what the big deal was about home mortgages. All I knew then was that the U.S. and the world were in a financial crisis.

The movie made me realize how complex and complicated it all was. It was quite surprising for me to learn that the fate of the American economy – probably even that of the world – lay in the hands of a few powerful men. I was especially struck by what Timothy Geithner told ...

This essay presents the evaluation that developing conceptual frameworks are a time wasting activity. In essence, it elaborates the notion that the perfect description of managerial accounting as referenced by internationally recognized best practices is a mere waste of time. Conceptual frameworks of accounting can on the other hand serve as route map for the evaluation of management accounting, more so in an organization’s operations. A conceptual framework is simply an intermediate theory which strives to interrelate to all features of inquiry under study. It is indeed a collection of various concepts which categorically illustrated and analytically organized so as ...

Introduction

There are certain differences between internal and external financial accounting. Internal financial accounting is also known as managerial accounting. The main differences between the two activities are the users of the financial statements, the types of information, the frequency of preparing the statements and the regulatory oversight of the accounts. The external financial information is a summary of the historical data of the company and it is mandatory for the accountants to prepare these statements. On the other hand internal financial accounting is detailed in nature and tends to be futuristic in terms of projections, budgets and estimations. It is ...

This paper presents analysis of Woolies ltd financial statements. Company’s financial analysis is of essence since it will be of significance in determining the performance and financial position of the company. The human resource director is subsequently able to interpret the company’s performance with respect to the profitability level, earnings per share or control as well as the liquidity position of the company. The paper therefore undertakes the analysis of Woolies ltd cash flow statement, balance sheet, and the analysis of income statement. Income statement tells the performance of the company throughout its financial period. The ...

Executive Summary

This work is about the preparation, appraisal, and interpretation of financial statements. The financial statements considered herein are Cash Flow Statement, Trading Profit and Loss Account (Income Statement), and the Balance Sheet of SIMPLECO PLC. Based on the provided information, the above statements are prepared and analysed so as to determine the financial position of the company. The analysis involves calculation and interpretation of the financial ratios. These ratios fall under three categories: profitability ratios, liquidity ratios, and leverage ratios. A conclusion is finally made concerning the performance of the company based on its financial position.

Introduction

Financial statements play a ...