Memorandum To: CEO of Company G From: Jane Doe Date: [ 6/23/2014 ] Re: Financial Analysis This memorandum contains an analysis of Company G’s financial statements from the years 2011 and 2012. I will discuss the ratios and trends for the company and how it compares to industry averages. Current Ratio: 1.80 (decreased from 1.86 in 2011) The current ratio for Company G is a weakness, the quartile industry data shows that the company is on the low side with 1.80 and the lowest at 1.40, there
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payable, wages, etc. The higher the ratio, the more likely a company is able to pay its short-term debts. This ratio can be found by dividing current assets by current liabilities. Year 12 shows Company G has a current ratio of 1.76, which is down .1 from year 11. This ranks above the first industry data quartile of 1.4, but below the second and third quartiles of 2.1 and 3.1, respectively. Because this ratio has not only declined in the last year, but is also much closer to the lowest quartile
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FNT1 Task1 Western Governors University FNT1 Task1 | Financial condition of Company G memo | | | Introduction: | Below is business memorandum to the CEO of Company G. Below is a chart that full meets the expectations of the task that was give. Each ratio is explained and the formulas used are listed along with the ratio finding. 1. That information is used to understand what our current trend and if it indicates a strength, weakness, no concern. Final Justification of identification
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Financial Statement Analysis FNT1: Financial Statement Analysis Task 319.1.2-04, 2.1-01-03 April 1, 2012 MEMORANDUM TO: CEO FROM: RE: Ratio Analysis DATE: April 1, 2012 ______________________________________________________________________________ I have been asked to compare and analyze the rations of Company G for the previous year as well as the industry standards. • Current Ratio: This ration is the calculation of current assets divided
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FNT1 Task 1 To: CEO Company G RE: Company G ratio analysis This report is a comparison of Company G’s ratios of years 2011 and 2012 and the industry standard. The ratio analysis is accurate to Company G’s data and the recommendations are the opinion of the analysis. 1. Current Ratio: Company G is showing as an emerging threat in this ratio. This ratio measures a company’s ability to pay short-term obligations
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