JET2 Financial Analysis Task 1 Competition Bikes, Inc. Submitted by: Michelle Beacham Competition Bikes, Inc. is a manufacturer of bicycles for professional and other highly accomplished riders. The bicycle produced is a light weight, shaft driven bicycle that is custom made to fit each cyclist. It has been extremely popular among professional riders; however, recently sponsors have reduced funding to the riders causing a decline in sales volumes. This summary will be evaluating the strengths
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Financial Analysis JET Task1 Western Governors University Prepare a summary report in which you do the following 1. Evaluate the company’s operational strengths and weakness based on the following: A. Horizontal analysis of financial statements involves comparison of a financial ratio, a benchmark, or a line item over a number of accounting periods. This method of analysis is also known as trend analysis. Horizontal analysis allows the assessment of relative changes in different
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COMPETITIVE BIKES, INC. INTRODUCTION The Financial Analysis of Competitive Bikes Inc. involves a complete assessment of the liquidity, profitability, competitiveness, and stability of the business. These reports will be using both the income statements and balance sheet provided by the business. Financial statement information is used by both internal and external users including creditors, investors, managers, and executives to make business decisions (Edmonds et al., 2010, p.100) The main objective
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RJET Task 1 A. Prepare a summary report in which you do the following: 1. Evaluate the company’s operational strengths and weaknesses based on the following: a. Horizontal analysis results Horizontal analysis is to determine dollar and percentage changes by comparing financial statements. (Investopedia.com, 2011) Between years 6 and 7, Competition Bike Inc.’s net sales increased 33.3% at $1,495,000. Between years 7 and 8, net sales of the product decreased 15.0% with a loss of $897,000
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Task 4 WGU By Kat-Johnson | Studymode.com Competition Bikes Inc. Storyline Managing Capital & Financial Assets 04/12/2014 WGU JET2 Financial Analysis Task 4 - PASSED To: Vice President The following is a summary report to recommend whether Competition Bikes should change its traditional costing method to activity based costing, and an analysis of the breakeven point with regards to sales units and dollars for both CarbonLite and Titanium bikes. It also discusses the impacts to the breakeven
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Competition Bikes, Inc. Competition Bikes, Inc. makes bicycles for professional and other highly accomplished riders who compete in bike races, biathlons, and triathlons. Sixty percent of all race winners have been victorious using a Competition Bikes, Inc. bicycle when at least ten percent of the entrants were also using a Competition Bikes, Inc. bicycle. This extraordinary success rate consistently is a topic of conversation among racers and this word of mouth advertising has been effective
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Summary Report for Vice President Western Governors University A1. To: Vice President The following summary will provide information as to why Competition Bikes, Inc. should switch its costing method from a traditional costing system to activity based costing. The traditional costing system is used by many corporations and allocates production overhead to the units manufactured. Companies that utilize the traditional costing method typically believe that the volume metric is the factor that
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The following paper is based on financial data from the March 2013 Competition Bikes, Inc. financial statements. A. Summary Report 1. Operational strengths and weaknesses of Competition Bikes Inc. a. Horizontal Analysis: A popular method of analyzing financial statements, horizontal analysis is defined as “the comparison of historical financial information over a series of reporting periods, or of the ratios derived from this financial information.” (Accounting Tools, 2014) Horizontal analysis
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Competition Bikes Summary Report Sherri Silva Western Governor's University Abstract Competition Bikes, Inc. is a successful business that makes bikes for professional cyclists helping them to live their dreams and compete in major cycling events to include triathlons and other competitive cycling sports. After three years in business, Larry Ferguson, the business owner decided to take the company public in efforts to gain the capitol needed to build the current two manufacturing facilities
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A. Prepare a summary report in which you do the following: 1. Discuss budgetary areas that raise concern in the budget planning. Competition Bikes, Inc. - Year 9 Budget Concerns The master budget for year 9 of Competition Bikes, Inc. contains all the required schedules. In general the information is sound and there are only a few concerns in regards to presentation and content. Concern 1 – Quarterly Activity The first concern is that all activity is not divided by quarter. Because the
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