Q2 - he gave us some equations and asks us to find : [10 marks] (a) the sales using 3 formulas , i think first we used Current Ration to find Total Liability , then Quick Ratio to find Inventories then Inventory turnover to get the sales (b) the DSO first we must find the Receivables = Total assets - (cash & short-term investments + inventories) then find the DSO = Receivables / sales / 365 Q3- [7.5 marks] (a) define LRP (b) similar question to 1-4 Q4- [7
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or creditors are interested in the trend of past sales, cost of good sold, operating expenses, net income, cash flows and return on investment. These trends offer a means for judging management's past performance and are possible indicators of future performance. Besides that, financial statement analysis shows the current position of the firm in terms of the types of assets owned by a business firm and the different liabilities due against the enterprise. Then, financial statement analysis helps
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ANALYSIS | 8-9 | 5. | RATIO ANALYSIS * FINANCIAL RATIOS * PROFITABILITY RATIOS * TURNOVER RATIOS | 10-1112-1617-20 | 6. | TABLE OF RATIOS | 21 | 7. | CONCLUSION | 22 | 8. | REFERENCES | 23-24 | 9. | APPENDIX | 25-26 | 10. | WORKING NOTES | 27-30 | 11. | NOTES | 31 | ABSTRACT The title of our project is HCL infosystem ltd. The purpose of this assignment is to compare the financial position of HCL between two years 2010 and 2011 by calculating different ratios from a given balance
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118 -120) A. Ratios allow you to compare a firm’s performance with that of other firms in the same industry and evaluate trends in the firm’s financial position over time. Ratios are used by managers to identify situations needing attention; potential lenders use them to determine whether a company is creditworthy; and stockholders use ratios to help predict future earnings, dividends, and free cash flow. B. Current ratio = ($2,680,112 / $1,039,800) = 2.58 Quick ratio = (($2,680,112 - $1
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the contents of a trading and profit and loss account and balance sheet for a selected company explaining how accounting ratios can be used to monitor the financial performance of the organisation. Profitability ratio Profitability ratios assess a business’s profitability of how well they’re doing by their interest parties. ROCE: In order for me to calculate the return on capital employed, I divided net profit from capital employed and then multiply by 100. This is shown bellow. R.O.C.E=(NET
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Ratio Analysis: Financial Rations- relationships determined from firms financial information and used for comparison purposes. Short Term Solvency or Liquidity Rations: ✓ These ratios provide information about the firm’s liquidity. The primary concern us the firm’s ability to pay its bills over a short run without undue stress. The focus on current assets and liabilities. Generally, but not always, the book value and the market value of a firm’s current assets/liabilities are similar as
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knowledge with the practical work field practices and provide students superiority over Financial Statement Analysis. This report on performance comparison was prepared through a comprehensive ratio analysis of the financial statements of Standard Bank Limited (SBL). The historical trends of these ratios were used to make inferences about a SBL’s financial condition, its operations and its investments attractiveness. 1.2 Objective of the Study To compare financial performance of Standard Bank
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Income + Depreciation and Amortization Operating Current Assets = Cash + Accounts receivable + Inventories Operating Current Liabilities = Accounts payable + Accruals Net Operating Working Capital (NOWC) = Operating Current Assets – Operating Current Liabilities Total Net Operating Capital (TNOC) = Net Operating Working Capital + Long-term Assets NOPAT = EBIT * (1 – Tax Rate) Free Cash Flow (FCF) = NOPAT - Net investment in operating capital Return of Invested Capital (ROIC) = NOPAT / Total Net Operating
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Introduction This project need us to calculate the financial ratios about SPRITZER company, explain the use of financial ratio of SPRITZER company, value the SPRITZER company’s performance and to encourage students to be familiar with real practice of industry financial standards. SPRITZER is company that most integrated and largest bottled water producer in Malaysia, starting from a small set-up in Taiping, Perak, in the late 1980’s, the SPRITZER Group of Companies today comprises five subsidiaries
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Measurement”, using the “Ratios”, before we answer to the question, we have to focus a bit on the “Financial Ratios” Sales Growth: The increase in sales over a specific period of time, often calculated annually. In this specific Case, that has asked the Sale growth for the four-year period, can be calculated as bellow; ((Ending Value)/(Beginning Value) )^((1/(# of Year)) )-1 = ($244,000/$115,000) = (1+r) ^4 compound rate, = 21% Profitability Ratios: it shows how profitable
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