Determining the current performance and future potential performance of a company is a complicated and lengthy process that requires the analyses of several aspects of their operations as well as their financial indicators. Standard industry financial indicators are used to measure against known success rates and will indicate the stability of a company in its current operations. Using the history and trend of these same indicators will predict the future financial performance of the company. These key indicators are not very different than a large scale of the indicators we use in our own personal life to budget our families and ensure our future ability to pay our bills while growing our personal wealth through asset ownership. The basis of the successful budget or operation is a guaranteed and continued positive income, minimization of debts, and gaining both liquid and non-liquid assets to our ownership. To measure and predict these indicators, we will need to analyze the industry standard tools that are accepted as financially credible information regarding the company. These tools are in the form of income statements, balance sheets, cash flow statements, asset definitions, and overall profit statements that capture the net result of the operations and trend these results into a history of performance and potential to perform in the future.
A. To evaluate Competition Bikes, we will look at four different ways to thoroughly evaluate the current and future potential of the operation and company. Only then can we be secure in knowing that our analysis is accurate and that any recommendation we make will be the right ones for the company to be successful. Once we have determined the status of the company accurately, we can advise the company leaders of the things that will need to be done to continue
