3-4 | 2. | Task 2Preparation of Financial Statements and Analysis * Projected Cash Flow Statement * Projected Income Statement * Projected Financial Position (Balance Sheet) | 5-10 | 3. | Task 3Calculation of Cost of Capital and its Explanation | 11-12 | 4. | Appendix 1 | 13-14 | 5. | Bibliography | 15 | Task1 Modern financial management theory assumes that shareholder wealth maximization is the primary objective of a business. A business is carried primarily to maximize the wealth/profit
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the credits to the account was $86,000. Which of the following statements is true? (Points : 5) 7. (TCO G) The net present value (NPV) method of investment project analysis assumes that the project's cash flows are reinvested at the:………… (Points : 5) 8. (TCO G) Logan Company is considering two projects, A and B. The following information has been gathered on these projects:……….Based on this information, which of the following statements is (are) true? I. Project A has the highest ranking according
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Introduction While United States Generally Accepted Accounting Principles (U.S. GAAP) are required throughout the United States, other countries utilize other methods of classifying their financial statement items. While the standards of accounting differ among many countries, there has recently been an effort to attain a universal set of standards under International Financial Reporting Standards (IFRS). While this has not yet been achieved, multiple countries have made an effort to converge
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Financial Statements The fundamental language of business is accounting which defines the flow of funds in clear terms so that it can be correctly understood and used for the good of the company. Accounting condenses information like funds paid or received by a business or a person and presents the information in reports and statements. Accounting that is to the point helps the business administration make precise decisions. Together with defining the four basic financial statements, I will explain
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financial statements. An introduction to financial statements is presented to give a background to the reader. In the introductory part, the fundamental accounting concepts used in the preparation of financial statements are included together with the explanation of their basis. Examples are also given as an illustration of its application. This consist the first part. On the other hand, the second part is about the evaluation of the role of financial accounting in aiding the decision-making processes
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Fig. 4 : 5 years Statistic: Profit for the year attribute to ShareholderProfit and Loss Analysis | 7-8 8 8 9 | 4.i.ii. | CASH FLOW Cash Flow Statement Nestle (M) Berhad for the year ended 31 December (2007 – 2011) Fig. 5 : Cash Flow Statement Fig. 6 : Net Cash from Operations Increasing Cash Flow Analysis | 9 10-11 11 11-12 | 5. i. a. b. c. d. e. f. g. | PERFORMANCE ANALYSIS RATIOFinancial Ratio for Nestle (M) Berhad Fig. 7 :
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of 'Financial Statement Analysis' Financial statement analysis (or financial analysis) is the process of understanding the risk and profitability of a firm (business, sub-business or project) through analysis of reported financial information, by using different accounting tools and techniques. Financial statement analysis is an evaluative method of determining the past, current and projected performance of a company. Several techniques are commonly used as part of financial statement analysis including
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Identify the format of Statement of Cash Flow use by the business (Direct or Indirect) for three consecutive years; the major cash inflow and cash outflow for the three different activities. Cash flow statements for the year ended 31 December 2009 | | | | | | | | | | | Group | | | 2009 | 2008 | 2007 | | Note | RM'000 | RM'000 | RM'000 | Cash flows from operating activities | | | | | Profit before tax | | 1,366,455 | 1,546,896 | 1,445,314 | Adjustment for: | | |
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Please complete the following: a. What are the four major financial statements and, in depth, discuss their purpose. The four major financial statements are the balance sheet, the income statement, the retained earnings statement and the statement of cash flows. The Balance Sheet reports the company’s assets, liabilities and shareholders’ equity at a specific point in time. It provides users of the financial statements an idea of what the company owns, owes and the amount invested by shareholders
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entity’s accomplishments — how well it achieved its objectives. Accordingly, the financial statements of businesses measure profitability, their key objective. Financial reports of governments and other not-for-profits should not focus on profitability, since it is not a relevant objective. Ideally, therefore, they should focus on other performance objectives, such as how well the organizations met their service goals. In reality, however, the goal of reporting on how well they have achieved such
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