Financial Ratios and Ratio - 4182 Words
This report provides a financial quarterly trend analysis for Costco Wholesale Corporation, Inc. founded in 1983. Costco Wholesale Corporation is the seventh largest retailer company in the world. As of July 2012, it was the fifth largest retailer, and the largest membership warehouse club chain in the United States ("Wikipedia, the free," 2011). Costco Wholesale Corporation’s stock is publicly traded on the National Association of Securities Dealers Automated Quotation...
4,182 Words | 17 Pages
Financial Ratios and Current Ratio
FINANCIAL RATIO ANALYSIS
Based on the table 1, it shows that the financial ratio was divided into four parts which are liquidity, assets management, long-term debt paying ability and profitability. Liquidity ratios are particularly interesting to short-term creditors and it is focus on current assets and current liability. In addition, General Thumb of rule for the current ratio should be at least 2:1. For the Gemini Electronic the current ratio is consistent and it is increase in year 2006....
311 Words | 1 Page
Project: Financial Ratios and Ratio
A PROJECT REPORT ON AN ANALYSIS & COMPARATIVE STUDY OF FINANCIAL STATEMENTS
FOR KALYANI STEELS LTD., PUNE
SUBMITTED TO UNIVERSITY OF PUNE IN PARTIAL FULFILMENT OF TWO YEARS FULL TIME COURSE MASTERS IN BUSINESS ADMINISTRATION(MBA)
SUBMITTED BY KETAN P. SHETTI (BATCH 2005-07)
VISHWAKARMA INSTITUTE OF MANAGEMENT, PUNE-48
To Whomsoever It May Concern
This is to certify that Mr. Shetti Ketan Prakash is a bonafide student of Vishwakarma Institute of Management, Pune. He has...
8,548 Words | 39 Pages
Financial Ratio - 1799 Words
Tests of Profitability
Profitability is a primary measure of the overall success of a company and is necessary for a company’s survival. Several test of profitability focus on measuring the adequacy of income by comparing it to other items reported on the financial statements.
1) Return on Equity:
One of the most important profitability ratios is return on equity (ROE). ROE is the amount of net income returned as a percentage of shareholders equity. Return on equity measures a...
1,799 Words | 8 Pages
All Financial ratios Essays
FINANCIAL RATIOS - 616 Words
Financial ratios are indicators of a company’s performance as discernable from the company’s Balance Sheet and income Statement. We will discuss some of the simple ratios of a company and talk about their significance.
Liquidity Ratios: Show the company’s ability to pay of its current liabilities from its current assets.
1. Current Ratio
Current assets should be significantly higher than current liabilities so that the current ratio is higher than 2:1.
616 Words | 4 Pages
Course: Financial Ratios and Ratio
Your Course Project
Financial Statement Analysis Project -- A Comparative Analysis of Oracle Corporation and Microsoft Corporation
Here is the link for the financial statements for Oracle Corporation for the fiscal year ending 2011. First, select 2011 using the drop-down arrow labeled for Year on the right-hand side of the page, and then select Annual Reports using the drop-down arrow labeled Filing Type on the left-hand side of the page.
You should select the 10k dated 6/28/2011 and...
1,189 Words | 5 Pages
Financial Ratios - 2008 Words
The first ratios we'll take a look at in this tutorial are the liquidity ratios. Liquidity ratios attempt to measure a company's ability to pay off its short-term debt obligations. This is done by comparing a company's most liquid assets (or, those that can be easily converted to cash), its short-term liabilities.
In general, the greater the coverage of liquid assets to short-term liabilities...
2,008 Words | 8 Pages
Financial Ratio - 3640 Words
The income statement has some limitations since it reflects accounting principles. For example, a company's depreciation expense is based on the cost of the assets it has acquired and is using in its business. The resulting depreciation expense may not be a good indicator of the economic value of the asset being used up. To illustrate this point let's assume that a company's buildings and equipment have been fully depreciated and therefore there will be no depreciation expense for those...
3,640 Words | 19 Pages
financial ratios - 1144 Words
Gross Profit to Sales (Gross Profit Ratio): profitability ratio that shows the relationship between gross profit and total net sales revenue.
Gross margin/Net sales
The gross margin is not an exact estimate of the company's pricing strategy but it does give a good indication of financial health. Without an adequate gross margin, a company will be unable to pay its operating and other expenses and build for the future. In general, a company's gross profit margin should be...
1,144 Words | 4 Pages
Financial Ratio - 9843 Words
Chapter – 1
Financial Management is the specific area of finance dealing with the financial decision corporations make, and the tools and analysis used to make the decisions. The discipline as a whole may be divided between long-term and short-term decisions and techniques. Both share the same goal of enhancing firm value by ensuring that return on capital exceeds cost of capital, without taking excessive financial risks.
9,843 Words | 57 Pages
Financial Ratios - 1213 Words
Date of submission:
Ratio analysis is a strategy used to aid in assessing the financial position of an organization. In healthcare finance, there are a lot of financial ratios, which have multiple descriptions. This report focuses on roles and analysis of financial ratios by category. In addition, it describes the comparison of financial ratios and national norms in...
1,213 Words | 5 Pages
Financial Ratios - 1448 Words
Net Profit Margin:
Earnings Before Tax (EBT) – Taxes/Net Product Sales OR Net income/Sales
Net Profit Margin is a ratio of profitability that measures how much out of every dollar of sales a company actually keeps in earnings. A higher profit margin indicates a more profitable company that has better control over its costs compared to its competitors.
43938/528369 = 8.32%
This is above industry average of 7.23%.
Tootsie Roll’s profit margin is 8.32%, meaning the company has...
1,448 Words | 5 Pages
Financial Ratios - 1286 Words
GROUP 1 REPORT FINANCIAL RATIOS
Financial ratios are useful indicators of a firm’s performance and financial situation. Most ratios can be calculated from information provided by the financial statements. Financial ratios can be used to analyze trends and to compare the firm’s financials to those of other firms. In some cases, ratio analysis can predict future bankruptcy.
SOURCES OF DATA FOR FINANCIAL RATIOS
Balance Sheet Income Statement Statement of Cash Flows Statement of...
1,286 Words | 6 Pages
Financial Ratios - 4389 Words
Current Ratio: = current assets / current liabilities
▪ The higher the ratio, the greater the "cushion" between current obligations and a firm's ability to meet them.
▪ Use: An indication of a company's ability to meet short-term debt obligations; the higher the ratio, the more liquid the company is. Current ratio is equal to current assets divided by current liabilities. If the current assets of a company are more than twice the current...
4,389 Words | 18 Pages
Financial Ratio & Financial Statement
i. Current Ratio
= Current Assets/Current Liability
= $ 14,651,000/$ 19,639,000
ii. Quick Ratio
= (Current Assets – Inventory) / Current Liability
= ($ 14,651,000 – $ 6,136,000) / $ 19,539,000
iii. Total Assets Turnover
= Sales/Total Assets
= $ 167,310,000/$ 108,615,000
iv. Inventory Turnover
= $ 117,910,000/$ 6,136,000
v. Receivable Turnover
= Sales/Account Receivables
= $ 167,310,000/$...
1,501 Words | 7 Pages
Financial Ratios - 2254 Words
TABLE OF CONTENTS
Types of Financial Ratios
Interpretation of Quick Ratio
Asset Turnover Ratio
Interpretation of Asset Turnover Ratio
* Net Profit margin
* Return on net worth
EPS(Earning Per Share)
Interpretation of EPS
Capital Structure Ratio
Interpretation of Asset-to-Equity Ratio
Interpretation of Debt-to-Equity Ratio
2,254 Words | 9 Pages
Financial Ratios - 655 Words
Interpreting Financial Results
July 22, 2013
Interpreting Financial Results
Liquidity: Current Ratio
Parrino, Kidwell, & Bates (2012) detail the current ratio as current assets divided by liabilities. The current ratio identifies a firm’s potential to pay short-term liabilities; higher liquidity is a good sign for potential creditors (Parrino et al., 2012). At the same time, however, the current ratio should not greatly exceed benchmarks of other competitors (Parrino et al.,...
655 Words | 3 Pages
Common Financial Ratios Common Financial Ratios Common Financial Ratios
COMMON FINANCIAL RATIOS
1 Current Ratio
Current Ratio = Current Asset/ Current Liability
In 2011 the current ratio is 0.0897 which means company has not enough resources to pay its debt over the next business cycle (usually 12 months) by comparing firm's current assets to its current...
995 Words | 7 Pages
Financial Ratios and Dividend Payout Ratio
1. Which financial ratio indicates the percentage of profit that is paid out as dividends?
dividend payout ratio
2. Constant dollars are dollars adjusted for inflation to make them comparable over various years.
3. According to Schilit, the search for hidden weaknesses in a company's performance is known as
4. Which of the following is NOT one of the categories of important financial ratios that is mentioned in the text to help assess an...
476 Words | 2 Pages
Financial Ratio Analysis - 2705 Words
INSTITUTE OF COST AND MANAGEMENT ACCOUNTANTS OF PAKISTAN
REPORT ON RATIO ANALYSIS
M/S RANI LIMITED
Board of Directors
TABLE OF CONTENTS
Financial Position and Ratio Analysis
6 - 10
Suggestions & Conclusion
11 - 12
Horizontal & Vertical Analysis of Income Statement
Comparative Ratios & averages
Trend of Ratios...
2,705 Words | 24 Pages
Itv Plc Financial Ratios
ITV Plc is a company on UK london Stock Exchange. This report calculates it important financial ratios to give a pitcure of its financial position in the market comparing by comaparing it to its industry average.
From Annual report of year 2011 of ITV Plc .
Financial Performance Analysis:
This section aims to reflect the financial performance of the ITV Plc by analysing a range of financial ratios from the last two years. A comprehensive evaluation is provided of the significant ratios and...
1,623 Words | 5 Pages
Modul Assignment Financial Ratio
Financial Ratio of PT.SAMPOERNA AGRO “For years 2007-2011”
Putri Utami Kusuma Dewi 022111168
Putri Utami Kusuma Dewi 022111168
Financial Ratio of PT.SAMPOERNA AGRO “For years 2007-2011”
This is financial statement’s analysis of PT Sampoerna Agro for years 2007-2011 Hope this report can help us in improving our knowledge especially in financial management.
Financial Ratio of PT.SAMPOERNA AGRO...
5,342 Words | 24 Pages
Financial Ratio Analysis Notes
Financial ratio analysis is conducted by managers, equity investors, long-term creditors, and short-term creditors. What is the primary emphasis of each of these groups in evaluating ratios?
Managers use financial statements to monitor measurements like debt leverage, costs, sales, assets and liabilities. Financial statements help managers assess achievement of financial goals.
Analysis of financial ratio helps equity investors to know whether their investment earnings any return or...
656 Words | 2 Pages
Cox Kings Financial Ratios
DAYANANDA SAGAR COLLEGE OF ENGINEERING
Financial Ratio Analysis
Department of MBA-VTU
MBA 2nd Semester
1 About Cox & Kings
2 Balance Sheet for 2009-2012
3 Profit & Loss Account for 2009-2012
4 Cash Flow Statement for 2009-2012
5 Financial Ratios
Long Term Solvency Ratio
2,018 Words | 8 Pages
Financial Ratio Analysis - 1949 Words
Financial Ratio Analysis Paper
Financial Ratio Analysis
(Fiscal year of 2009 and 2010)
Liquidity of the agency
Current ratios=current assets (cash+accounts receivable+inventory)current liability
Current ratios (2009) = (9690+25391) / (6027+8399) = 2.43
Current ratios (2010) = (15799+10123+60333+32119) / (24813+5459) = 3.91
The two ratios show that in the fiscal year of 2009, for every dollar the agency owed, it had 2.43 dollars to pay. In the fiscal year of 2010, the liquidity...
1,949 Words | 6 Pages
American Airlines Financial Ratio
Summary of the Company
American Airlines, Inc. (American) was founded in 1934 and is the principal subsidiary of AMR Corporation. American provides aircraft services to around 160 destinations around the world. American Airlines has connections to 3 regional carriers. Two carriers are owned by AMR (American Eagle and Executive Airlines). The third carrier is owned by a third party (Republic Airways Holdings) that has no connection to AMR. These regional carriers serve to connect feed...
1,781 Words | 10 Pages
Riordan's Manufacturing Financial Ratios
Running head: RIORDAN MANUFACTURING’S FINANCIAL RATIOS
Riordan Manufacturing’s Financial Ratios
University of Phoenix
Riordan Manufacturing’s Financial Ratios
Riordan Manufacturing, a global plastics manufacturer was founded by Dr. Riordan in 1991. Today the corporation has expanded from the fan manufacturing plant in Michigan into a manufacturer employing 550 people with projected annual earnings of $46 million. Riordan’s has facilities located in America and China and the major...
1,816 Words | 7 Pages
financial ratio analysis - 1873 Words
ANALYSIS OF FINANCIAL
R ATIO ANALYSIS
FINANCIAL RATIO ANALYSIS
the calculation and comparison
of ratios which are derived from
the information in a company's
Why are ratios useful?
Ratios standardize numbers and facilitate
Ratios are used to highlight weaknesses
Ratio comparisons should be made
1,873 Words | 37 Pages
Financial Ratios and Sales - 10334 Words
1. (TCO A) Which of the following statements is CORRECT? (Points : 10)
One of the disadvantages of a sole proprietorship is that the proprietor is exposed to unlimited liability.
It is generally easier to transfer one’s ownership interest in a partnership than in a corporation.
One of the advantages of the corporate form of organization is that it avoids double taxation.
One of the advantages of a corporation from a social standpoint is that every stockholder...
10,334 Words | 62 Pages
Financial Ratios and Hershey - 6093 Words
A. TWO KEY LESSONS LEARNT FROM THIS CASE
Hershey Company is famous known for being the biggest manufacturer of chocolates and confectionery products in North America and grocery products in over 60 countries worldwide. In 2009, Hershey sales up to 3.23 percent. Advertising expenses increased by 46 percent as the company continued to promote iconic brands such as the Hershey Kiss and Reese’s products. Due to lower commodity prices, the company plans to discontinue their Cacao Reserve...
6,093 Words | 24 Pages
Financial Ratio Analysis Report
FINANCIAL RATIO ANALYSIS REPORT
The fiscal year 2004 was a relatively soft year for Barnes & Noble, Incorporated (B&N). Blockbuster nonfiction books that came out during the year may not have come from the company, but business remained strong. This is due to the million of books already in the market, including phenomenal fiction hits "The Da Vinci Code," "The Five People You Meet in Heaven," and "The Rule of Four," and thousands of new releases during the year. This claim was supported by...
1,676 Words | 4 Pages
Riordan Manufacturing Financial Ratios
Riordan Manufacturing’s Financial Ratios
Riordan Manufacturing, Inc. (Riordan) is a publically held corporation established in 1992, specializing in the manufacturing of plastic injection molding with facilities in California, Michigan, Georgia, and China. In 2000, the company expanded the manufacturing operations to China.
Financial reports (Appendix A and B) for the fiscal years 2004 and 2005 depict the financial position of the company. Ratios calculated from Riordan’s financial...
887 Words | 4 Pages
Financial Ratio Analysis - 1245 Words
Financial Ratio Analysis
Return on Equity (ROE)
ROE measures the profitability of a company, it shows how much of profit can be generated by each dollar of common stockholders’ equity. The higher the value of ROE means that the company is generating income efficiently. The net benefit that shareholders’ are receiving from investing their capital in the financial firm can be estimated by ROE. Usually, investors will compare and check the trend of ROE of different companies to make sure...
1,245 Words | 4 Pages
Financial Ratio Analysis - 11313 Words
FINANCIAL RATIO ANALYSIS
PROCTER & GAMBLE | PFIZER INC
FINANCE 405 | FALL 2012
Procter & Gamble
William Procter and James Gamble, immigrants from England and Ireland respectively, met when they married into the Norris family. Their father-in-law suggested they build their own company since both men had useful trades- Procter was a...
11,313 Words | 35 Pages
Financial Ratio and Company - 4506 Words
Kraft Foods Inc. - 2009
Case Notes Prepared by: Dr. Mernoush Banton
Case Author: Kristopher J. Blanchard
A. Case Abstract
Kraft Foods Inc. (Kraftfoodscompany.com) is a comprehensive strategic management case that includes the company’s calendar December 31, 2008 financial statements, competitor information and more. The case time setting is the year 2009. Sufficient internal and external data are provided to enable students to evaluate current strategies and recommend a...
4,506 Words | 17 Pages
Financial Ratio Analysis - 6931 Words
Table of Contents
Background information on Gamuda Berhad ...................................................... 1
Background information on YTL Corporation Berhad.......................................... 1
Scope for the report ...................................................................................... 2
Financial statements of the companies (balance sheet and income statements) 3
6,931 Words | 50 Pages
Financial Ratios and Analysis - 255 Words
Financial ratios and analysis
Loans to deposits ratio (loans/deposits)
Long-term: 20266/20142 = 100.62 %
This ratio shows whether our bank has the ability to cover withdrawals made by the customers. The loan to deposit ratio can be used by investors and internally by the company to determine the financial institutions short term viability.
According to our number of 100.62%, the bank has enough loans to cover for deposits if they were due in the long-term. Although the number is good to...
255 Words | 1 Page
Financial Ratios for Managers and Investors
The ratios considered useful by upper management will be different than what an investor consider useful.
Senior management will be concerned with the ratio like return on total assets because they want to know how the company is fairing overall and whether they will be able to meet the debt holders liability and shareholders expectation. An investor will be more concerned with ratios like return on equity because they just want to know how whether they will be able to make profit on their...
325 Words | 1 Page
Financial Ratio Calculations - 2548 Words
ANALYSIS REPORT FOR A PROSPECTIVE SHAREHOLDER
Terms of Reference
1. To determine whether Ted Baker is worth investing into
2. To compare financial ratios over the last five years
3. To identify problem areas and good signs for investment
I will then come to a clear conclusion about Ted Baker’s financial performance and make an informed recommendation to a potential shareholder.
The report was requested by a potential shareholder,
Will be analyzing the...
2,548 Words | 9 Pages
Financial Ratio and Reebok International
Overall, the current situation of Reebok International is satisfactory. Reebok reports improved third quarter 2002 earnings, which have given the company encouragement to proceed with their long-term planning for 2003. Reebok currently maintains a position in the top three athletic shoe brands, and plans to continue expanding its product line and improving its brand image. Accounts receivable at December 31, 2002, increased by $38.4 million December 31, 2001, an increase of...
4,268 Words | 16 Pages
Financial Ratio Analysis - 3428 Words
Comparative Ratio Analysis of Three Listed CompaniesOf ICT Sector |
August 08, 2012 |
TABLE OF CONTENT
Title | Page No |
Letter of Transmittal | 3 |
Acknowledgement | 4 |
Introduction and Rationale of the study | 6 |
Objectives | 6 |
Sources of Data | 6 |
Methodology | 7 |
Findings of the Ratio Analysis | 8 |
Liquidity Ratio | 8 |
Debt Ratio | 9 |
Profitability/Performance | 10 |
Activity Ratio | 13 |
Market Performance | 18 |...
3,428 Words | 13 Pages
Importance of Financial Ratios - 2165 Words
Report on analysis of the importance of financial performances and comparison of financial ratios of Chancellors Hotel with another business in the same industry and industry averages.
BA (Hons) 1st Year International Hospitality Management
Student ID: 12110023
Supervisor: Amanda White
Manchester Metropolitan University
Old Hall Lane
The Report below is about analysis of the importance...
2,165 Words | 8 Pages
Financial Ratios and Division Managers
A) The front desk receptionist routinely takes an extra 20 minutes of lunch to run personal errands.
Agency Problem: she took an extra 20 minutes to do her personal errands instead of working, which she puts her own self interests before the best interests of the company.
Occurred cost: the salary that the company pays to her. The solution would depend on the boss on her work performance in the past. If she has an important personal errand to do during that time, then boss might...
2,013 Words | 7 Pages
Honda Financial Ratios Analysis
A Financial Ratio Quarterly Trend Analysis of
Honda Motor Co Ltd
Stock Symbol: HMC
Listed on the New York Stock Exchange
Department of Finance and Real Estate
Florida International University
Course: FIN 4606
Recommendations for Investors and Lenders
Would you place a personal deposit of one million dollars or more in the publicly traded stock of this company?
Honda is considered to be one of the best auto makers in the...
1,822 Words | 6 Pages
Padini's Financial Ratio - 6499 Words
Padini Holdings Berhad began as a backend operation in Malaysia’s clothing and accessories industry. It has entered the new millennium as a major force in Malaysia’s multibillion textiles and garments industry. It is now a brand leader involved in the manufacturing, distribution and retail of its own fashion labels through 190 freestanding stores and in-house outlets. Besides operating in Malaysia, they have also carried the Made-in-Malaysia...
6,499 Words | 22 Pages
Checklist of Financial Ratios - 610 Words
Checklist of Financial Ratios
Financial ratios allow a business owner to analyze and assess the firm's financial performance and position over a period of time. By computing the financial ratios, you can also detect certain relationships between the different types of information. It gives you a quick indication of the firm's performance in the areas of liquidity, profitability, capital structure as well as the financial position and potential risk involved.
1) | | Asset...
610 Words | 2 Pages
Financial Ratio and Costco - 1614 Words
What is competition like in the North American wholesale club industry? Which of the fi ve competitive forces is strongest and why? Use the information in Figures 3.4, 3.5, 3.6, 3.7, and 3.8 (and the related chapter discussions on pp. 57-70) to do complete five-force analysis of competition in the North American wholesale club industry.
2. Do all three warehouse club rivals—Costco, Sam’s, and BJ’s Wholesale—have highly similar strategies? What differences in their strategies are apparent? Does...
1,614 Words | 5 Pages
Financial Ratio and Costco - 2253 Words
Acct Info for Decision Making
Project on Costco Wholesale Corp.
History & Background
Founded by James (Jim) Sinegl and Jeffrey H. Brotman, Costco opened its first warehouse in Seattle, Washington, on September 15, 1983. Sinegal had started in wholesale distribution by working forSol Price at both FedMart and Price Club. Brotman, an attorney from an old Seattle retailing family, had also been involved in retail distribution from an early age.
Wal-Mart founder Sam...
2,253 Words | 8 Pages
Interpreting Financial Ratios - 373 Words
Checkpoint # 2
Interpreting Financial Ratios
From what I have read and gathered; over the past (3) three years, Luna Lighting
financials does have the possibility to expand within the next few years. The companies
average collection period on money has decreased in the last three years and is better than
industry average. The inventory turnover rate has maintained at steady level...
373 Words | 3 Pages
Financial ratios analysis - 757 Words
Accounting: A User Perspective
Prepared by Marcelo De la cruz Plejo
Student ID, z3479895
Master of Business and Technology
GBAT9120 Accounting: A User Perspective – Semester 1 - 2014
Facilitator, Ken Trottman
1. Question 1 [14 marks]
1. Return on Equity
(2425 / 78018)x100
2. Alternative Return on Assets
757 Words | 5 Pages
Calculation of Financial Ratios for Google
The company that I have selected for Financial Ratio analysis is GOOGLE.
The Ratios that I am going to analyze are grouped under four main headings: 1) Profitability
Ratio 2) Liquidity Ratio 3) Debt Ratio 4) Market Ratio
1. Profitability Ratio - Profitability ratios measure the firm's use of its assets and control of its
expenses to generate an acceptable rate of return.
a. ROE - Return On Equity - Measures the rate of return on the ownership interest
(shareholders' equity) of the common...
1,541 Words | 6 Pages
Financial Analysis and Ratio Analysis
Section III: Financial Analysis—Ratio Analysis
When evaluating the company’s profitability, we pay attention to the following ratios which are commonly analyzed: Net Profit Margin, Accounts Receivables Turnover, Return on Assets and Return on Equity. From the tables and figures, all the ratios have increased over the past five years except for 2012. This means UPS is overall a healthy company and does a good job at generating profits.
Net Profit Margin Ratio
1,727 Words | 6 Pages
Strategic Financial Ratio Analysis
Strategic Financial Ratio Analysis |
Meghna Cement Mills Bangladesh Limited & Heidelberg Cement Bangladesh Limited For the year of 2009,2010 & 2011 |
Course Title : Fin 254 Section : 11 Submitted to : SFR Submission date: 09/04/2013 |...
2,235 Words | 8 Pages
Accounting: Financial Ratio Analysis
Financial ratio analysis is a fundamental task of investors, accountants and corporate managers. Financial ratios fall into four main buckets: profitability ratios (which tell you how effectively a company utilizes its assets); liquidity ratios (which measure the financial health of the company); and leverage ratios (which tell you how much debt the company has relative to its total capital); turnover ratios or activity ratios ( which tell you how many times a company's inventory...
6,926 Words | 20 Pages
Financial Ratios Comparison - 1893 Words
The companies’ financial ratios can be compared with the ratios of other equivalent companies between business sectors at one point of time. These comparisons provide explanations on the relative financial status and performance of the company compared to the relative performance of its competitors. Comparisons are usually made with other companies in the same business sector and the benchmark is assumed to be the suitable value for a company. The assumption here is for the companies in the same...
1,893 Words | 6 Pages
Financial Ratio Formulae - 253 Words
Financial Ratio Formulae
1. Current Ratio = Current Asset / Current Liabilities
2. Quick Ratio = (Current Asset – Inventory)/ Current Liabilities
3. Net working capital to sales ratio = Current Asset - Current Liabilities/ Sales
1. Gross Profit Margin = Gross Income / Sales
2. Operating Profit Margin = Operating income/ Sales
3. Net Profit Margin = Net Profit/ Sales
253 Words | 2 Pages
Analysis: Financial Ratios and Proton
PART A (I)
In an organization, there must exist core business activities to function properly. Hence, the core business activities of Proton Holdings Berhad are engaged to automotive industry. It is no doubt that Proton Holdings Berhad is Malaysia’s leading automotive manufacturer (Home, n.d.). Proton Holdings Berhad had produced many car models which included Inspira, Exora, Saga FL, Persona and other models that received great responses from the market (Corporate, n.d.). For instance, Proton...
7,037 Words | 19 Pages
Amazon: Financial Ratios and Inc.
Financial Statement Analysis:
Ashley B. Stark
Dickinson State University
October 18, 2012
The following document provides the trend, common-size, and horizontal analysis of Amazon, Incorporated, for the fiscal years ending 2007, 2008, 2009, 2010, and 2011. Amazon, Incorporated is a healthy company that has reached mature growth with stable returns. Overall, Amazon, Incorporated is a reasonable investment based on its historical and industry analysis and...
2,553 Words | 8 Pages
Financial Ratios and British Petroleum
British Petroleum Ratio Analysis Memo
September 5, 2013
British Petroleum Analysis Memo
Memo to Bob Fryar Executive Vice President, Safety and Operational Risk Dr Brian Gilvary Chief Financial Officer of British Petroleum:
As we are sure you are already familiar with the British Petroleum organization, a lot of the information included in this memo may seem unnecessary directed only to you. It is vital to know information...
2,031 Words | 8 Pages
Financial Ratios and Net Income
1. Dartmouth Inc's latest net income was $1,250,000, and it had 225,000 shares outstanding. The company wants to pay out 45% of its income. What dividend per share should it declare?
2. Garcia Industries has sales of $200,000 and accounts receivable of $18,500, and it gives its customers 25 days to pay. The industry average DSO is 27 days, based on a 365-day year. If the company changes its credit and collection policy sufficiently to cause its DSO to fall to...
789 Words | 3 Pages
Financial Ratios and Popular Holdings
Professor Goh Beng Wee
Ng Si Yong
Lo Yeow Fong
Yik Jia Qi
Ong Shu Fang
Analysis of Popular Holdings Limited
Financial Accounting Term Project
(for OBHR 001 – Leadership and Teambuilding)
Popular Holdings is a main board listed company in Singapore. It was incorporated in Singapore on 5 October 1996 as a private company under Popular Holdings Limited and the principal activity is that of an investment...
11,745 Words | 38 Pages
Financial Ratios and Gross Profit
1. What is the purpose of financial statement analysis? It show trends and relationships. These also help predict the future, show weaknesses, strengths. The ratios usually are compared to other companies within the industry and industry average to see where the company stands.
2. If a company had sales of $2,587,643 in 1998 and sales of $3,213,456 in 2003, by what percentage did sales change during this time...
5,473 Words | 15 Pages
Key Financial Ratios. - 1813 Words
|KEY FINANCIAL RATIOS |
|Ratio analysis is the study of relationships among and between various financial statement accounts. The following are extracted from|
|chapter 6, "Fundamentals of Investing" by Gitman and Joehnk, 1993. This extract should be viewed along side the attached computations|
|for EMC Corporation, a company that BAB's has interest in and therefore should make the...
1,813 Words | 16 Pages
Ratio and Financial Statement Analysis
Financial Decision Making for Managers
Ratio and Financial Statement Analysis
Benefits and Limitations.
This paper analyzes tools used in financial analysis such as ratios. Financial ratio analysis is a judicious way for different stakeholders to use for different goals.
This paper demonstrates that financial ratio analysis is...
1,527 Words | 6 Pages
Ford Financial Ratio - 736 Words
Ford Financial Ratio
Ford Financial Ratio
In 2013 Ford delivers strong financial results achieving 18 straights quarters of operating profits and its fourth year in a row of positive net income. Ford had sales revenue of $146 billion in 2013 which was a $13.3 billion dollar increase from 2012 and reported net income after tax of $7.1 billion dollars which was an increase of $1.5 billion dollars from 2012.This resulted in earnings per share of...
736 Words | 3 Pages
Importance of Financial Ratios - 2244 Words
Important Financial Ratios in Investment Analysis
Financial ratios are derived ratio numbers from the financial statements of a company. Depending on the task, financial ratios can serve to various purposes in accounting, legal, M&A uses, etc. For investors, financial ratios are very powerful in two ways: indentifying the company’s unique competitiveness and evaluating its stock price level. The first part helps investor find a truly valuable company and the second part helps...
2,244 Words | 6 Pages
Financial Ratio and Industry Average
a. Why are ratios useful? What three groups use ratio analysis and for what reasons?
Financial ratios are designed to extract important information that might not be obvious simply from examining a firm’s financial statements. Financial statement analysis involves comparing a firm’s performance with that of other firms in the same industry and evaluating trend in the firm’s financial position over time.
From the textbook, we know managers use financial analysis to identify situations...
1,372 Words | 8 Pages
It Calculate Financial Ratios
Calculate Financial Ratios
Riordan Manufacturing’s Calculated Financial Ratio
The current ratio is the measure of the degree to which current assets cover current liabilities. A ratio of more than one suggests that it can pay most of its debts at that point in time. The ability to effectively turn products into cash is a good sign of a company's financial state.
Current assets $14,589,092.09 * $14,643,456.43 *
Current liabilities $6,974,094 $6,029,696...
1,645 Words | 6 Pages
Financial Ratios and Analysis - 1968 Words
Financial Accounting vs. Management Accounting
Role and Primary Tasks/Services Performed by Management Accountants
Accounting is a staff function, with management accountants providing information to other managers. Information can relate to: financial statements, tax problems, dealing with governmental authorities and other matters.
The management accountant, like other staff managers, often recommends courses of action to those using the information. But neither the management...
1,968 Words | 12 Pages
The Role of Financial Ratios - 4980 Words
The Role of Financial Ratios
Table of content
Chapter 1. Notion and types of ratios. 4
1.1 Liquidity ratios. 5
1.2 Financial leverage ratios 7
1.3 Funds management ratios 9
1.4 Profitability ratios 12
Chapter 2. Use of financial ratios. 15
2.1Use and Limitations of Financial Ratios 15
2.2 Used financial data 15
2.3 Financial ratios calculated for The Apple Company 16
2.4 The Dupont Model 18
Appendix 1 21
4,980 Words | 17 Pages
Ratio Analysis in Financial Accounting
NP ratio is used to measure the overall profitability and hence it is very useful to proprietors. The ratio is very useful as if the net profit is not sufficient, the firm shall not be able to achieve a satisfactory return on its investment.
This ratio also indicates the firm's capacity to face adverse economic conditions such as price competition, low demand, etc. Obviously, higher the ratio the better is the...
1,555 Words | 5 Pages
Financial Ratio Analysis of Microsoft
CASH FLOW STATEMENT ANALYSISOver three years, net cash from operations has exceeded net income creating more than enough cash to cover reported depreciation amounts and normal common stock cash dividends. This indicates that Microsoft can support its cash needs with its operations and points to why the company does not rely on borrowing. Account receivables increased twofold each year, which indicates potential future growth. Also, deduction trends in current assets and liabilities demonstrate...
882 Words | 3 Pages
Financial Ratio Analysis - 2409 Words
Financial Ratio Analysis
-As changes in a company’s several accounts change, it is hard to just casually inspect statement of earnings and balance sheets. Many items fluctuate simultaneously, making the reasons for the fluctuations hard to determine.
-Financial Ratio Analysis is a useful management tool developed to assist in indentifying, interpreting and evaluating changes in the financial performance and condition of a business over a period of time. Its purpose is to provide information...
2,409 Words | 8 Pages
Financial Ratio Analysis Reoprt
Toyota Motor Corporation. The Group's principal activities are to manufacture and sell automobiles and provide financial services. The Group operates through three segments: Automotive, Financial Services and Other. Automotive segment designs, manufactures, assembles and sells passenger cars, recreational and sport-utility vehicles, minivans and trucks and related parts and accessories. Financial services segment provides financing to dealers and their customers for the...
1,738 Words | 6 Pages
Financial Ratio Analysis - 580 Words
Financial ratio analysis is the calculation and comparison of ratios which are derived from the information in a company's financial statements. The level and historical trends of these ratios can be used to make inferences about a company's financial condition, its operations and attractiveness as an investment.
Financial ratios are calculated from one or more pieces of information from a company's financial statements. For example, the "gross margin" is the gross profit from operations...
580 Words | 2 Pages
Financial Ratios and Cash Flows
Which of the following presents a summary of the changes in a firm’s balance sheet from the beginning of an accounting period to the end of that accounting period?
The statement of cash flows.
The statement of net worth.
The statement of retained earnings.
The statement of working capital.
Efficiency ratio: Gateway Corp. has an inventory turnover ratio of 5.6. What is the firm's days's sales in inventory?
1,120 Words | 10 Pages
Financial Ratios and Qantas - 2765 Words
TABLE OF CONTENTS
2,765 Words | 11 Pages
Spartech Corporation: a Financial Ratio Analysis
Spartech Corporation is a leading producer of extruded thermoplastic sheet and rollstock, polymeric compounds, and custom engineered plastic products. Their annual production capacity amounts to more than 1.7 billion pounds produced in manufacturing facilities located throughout the United States, Canada, Mexico and Europe.
The company's financial ratios for 2004, 2005, and 2006 were analyzed and indicates that the company is not without problems.
The current ratio for the company has been on...
1,077 Words | 3 Pages
Nike Financial Ratio Executive Summary
NIKE, INC.: Executive Summary Financial Statement Ratios
According to Nike’s SIC number (3021), the company is classified in the “rubber and plastic footwear” industry. Relying upon this information Mergent Online identified the following American companies as competitors to Nike:
• Columbia Sportswear Company Annual Revenue $ 1,483,524,000
• Deckers Outdoor Corporation Annual Revenue $ 1,000,989,000
• Crocs, Inc. Annual Revenue $ 789,695,000
• Bakers Footwear Group...
1,453 Words | 5 Pages
Financial Ratios and Monsanto 4.to Rationalize
1.To assess the strengths and weaknesses of Monsanto
2.To determine the courses of action to be taken
3.To find out the competitive advantage of Monsanto
4.To rationalize and analyze case of an existing company
Objective of the case/ problem:
To transform the company into a life sciences behemoth.
Alternative courses of action:
1.To merge with companies having strong financial resources
2.To have interrelationships
654 Words | 5 Pages
Financial Ratios for East Coast Yachts
Financial ratios for East Coast Yachts:
Current ratio | = | Current Assets | | | Debt-equity ratio | = | Total liabilities |
| | Current Liabilities | | | | | Total equity |
| = | $14,651,000 | | | | = | $19,539,000 + $33,735,000 |
| | $19,539,000 | | | | | $55,341,000 |
| = | 0.75 | | | | = | 0.96 |
| | | | | | | |
| | | | | | | |
Quick ratio | = | Current Assets - Inventory | | | Equity multiplier | = | Total assets |
1,891 Words | 12 Pages
Financial Ratios: TESCO and J. Sainsbury
UNIVERSITY OF CENTRAL LANCASHIRE
Introduction to Finance and Accounting
2nd Semester Assignment
Name: Maximos Nathanailidis
Table of Contents
The purpose of this report is to conduct a comparative ratio analysis of the financial statements of J. Sainsbury PLC and Tesco PLC for the year-ending 2013. The financial information that is provided from each company’s annual report and the comparison between them will help possible...
2,657 Words | 14 Pages
Financial Ratio Analsis in Managerial Accounting
Table of Content
TABLE OF CONTENTS I
EXECUTIVE SUMMARY II
I. INTRODUCTION 1
iii. Financial Statements:
iv. Analyzing Company Accounts
v. Ratio Analysis
II. MANAGEMENT ACCOUNTING 3
i. The Objectives of Management Accounting:
ii. Scope of Management Accounting:
iii. Functions of Management Accounting:
iv. Advantages of Management Accounting:
v. Limitations of Management...
5,263 Words | 18 Pages
Financial Ratios and Venture Investor Attractiveness
WEEK 1 HOMEWORK |
Entrepreneurial Finance |
Professor: Caryl Pedersen |
Roxanne Robinson |
Chapter 1: Exercises/Problem #1 pp.33-34
1. [Financing Concepts] The following ventures are at different stages in their life cycles. Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.
A. Phil Young, founder of Pedal Pushers, has an idea for...
1,346 Words | 6 Pages
Financial Ratios Statement of Nestle Berhad
Title : Analysis of Financial Statements of Nestle Company (M)
Submission Date : 10 Decemer 2010
Lecturer : Theang Kok Foo
Name : Albina Assanbayeva
Student ID# : 109072016
Academic Honesty Policy Statement
I, hereby attest that contents of this attachment are my own work. Referenced works, articles, art, programs, papers or parts thereof are acknowledged at the end of this paper. This includes data excerpted from CD-ROMs, the...
2,564 Words | 10 Pages
Paper Ratio and Financial Statement Analysis
Benefits and Limitations of Ratio and Financial Statement Analysis
July 25, 2013
In corporate finance, both ratio and financial statement analysis are important tools that can be used in order to assess a company’s strength financially. They can be used in order to forecast a business’ prospective cash flow and ability to grow in the future, as well as a company’s strengths and...
2,693 Words | 8 Pages
Financial Ratio Analysis of Landry's Restaurants
Earnings per Share
(Earnings per share = Net Income / Weighed Average Common Shares Outstanding)
Earnings per share measures the amount of net income earned on each share of common stock, a very important measurement, that the shareholders of a firm's stock like to see trending upward. (NetMBA.com, 2007)
Return on Assets
(Return on Assets = Net Income / Average Assets)
Return on Assets is a measurement of the overall profitability of a firm. It measures the rate of return on each dollar...
825 Words | 3 Pages
Ratio - 1284 Words
Ratio analysis is basically used to understanding the financial health of a business entity. With the help of ratios we can easily calculate from current year performance of the companies and are then compared to previous years. Ratio analysis conducts a quantitative analysis of information in a company’s financial statements. These Ratios are most commonly used in banking sector can be divided into five main categories
1,284 Words | 6 Pages
Financial Ratios and Net Profit Margin
Financial Statement Analysis Exercises
Consider the following potential events that might have taken place atVodafone Group Plc on 31
March, 2012. For each one, indicate which line items in Vodafone’s balance sheet would be
affected and by how much. Also indicate the change to Vodafone’s book value of equity. (In all
cases, ignore any tax consequences for simplicity.)
A warehouse fire destroyed £50 million worth of uninsured inventory.
1,178 Words | 14 Pages
An Analysis of Uchumi Supermarkets’ Financial Ratios
alysis of Analysis of Analysis of Analysis of Analysis of Analysis of Analysis of Analysis of Financial RatiosFinancial RatiosFinancial RatiosFinancial Ratios Financial Ratios Financial RatiosFinancial RatiosFinancial Ratios Financial Ratios - Uchumi Supermarkets Uchumi Supermarkets Uchumi Supermarkets Uchumi Supermarkets Uchumi Supermarkets Uchumi Supermarkets Uchumi Supermarkets Uchumi Supermarkets Uchumi Supermarkets Uchumi Supermarkets
Financial Ratios are relative magnitudes of select...
2,686 Words | 19 Pages
Ratio - 561 Words
Debt ratio (2006-2007) = Total liabilities / Total assets = 10,170/12,064 = 0.84
Debt ratio (2007-2008) = 9,210/11,769 =
Debt ratio (2008-2009) = 10,003/11,229 =
Debt ratio (2009-2010) = 11,043/12,537 =
Current ratio (2006-2007) = Current assets / Current liabilities = 3,424/4,790 = 0.71
Current ratio (2007-2008) = 2,164/4,498 =
Current ratio (2008-2009) = 1,326/5,389 =
Current ratio (2009-2010) = 2,697/6,085 =
Return on sales (ROS)
561 Words | 3 Pages
Estee Lauder Financial Ratio Analysis
The purpose of this report is to highlight and assess the financial strength of Estee Lauder. This report will cover Estee Lauder’s Profitability, Liquidity, Leverage and Activity Ratios, which will be 19 key ratios. Secondly, these ratios will be interpreted to evaluate the current performance of the company with its historic figures of prior three years. Lastly, all these ratios will be compared with Cosmetics and Beauty Industry average and its competitor L’Oreal in 2012....
2,442 Words | 8 Pages
Linking Financial Ratios and Stock Returns
Financial ratio analysis is a technique for trying to help interpret financial accounts and to determine the intrinsic value of a security by careful examination of key value drivers such as risk, growth, and competitive position. Various ratios can be calculated from the financial accounts. These ratios will then help us to examine the company’s performance over a number of periods by comparing the same ratios in previous years’ accounts and also the accounts of other...
7,949 Words | 25 Pages
Financial Ratio Analysis Herbalife Ltd
Herbalife Ltd are a global nutrition company founded in 1980 that sells weight management, healthy meals and snacks, sports and fitness, energy and targeted nutritional products as well as personal care products. Herbalife distributes and sells its products through a network of independent distributors, using the direct selling channel. As of December 31, 2012, Herbalife sold their products in 88 countries to and through a network of approximately 3.2 million independent...
2,350 Words | 8 Pages
Ratios - 1997 Words
University of Malta
Faculty of Economics, Management and Accountancy
BKF 2321: Accounting for Bankers 1 and 2
Assignment 2012/2013 – Semester 2
B. Com (Major in Banking and Finance) – Year III
Ratio Analysis Report
Student: Kevin Galea...
1,997 Words | 6 Pages
Bed Bath and Beyond Financial Ratios
Bed Bath and Beyond
Growth & sustainability evaluation
Denise Hamilton, Joel Raha, Naveen Mamidyala, Puneet Pagi, Rory Murphy,
Table of Contents
Executive Summary 3
Market & Competition 3
Bed, Bath & Beyond Strategies 4
Business Strategy 4
Operating Strategy 4
Expansion Strategy 5
Are these strategies working? 6
Comparison with competition 6
Year-On-Year (YoY) same-store sales 6
Sales per Square Foot 6
Sliding ROE (Explanation using Dupont Analysis) 6
2,964 Words | 12 Pages
Ratio: Balance Sheet and Financial Results
Rev. Oct. 17, 2012
RATIOS TELL A STORY—2011
Financial results and conditions vary among companies for a number of reasons. One reason for the variation can be traced to the characteristics of the industries in which companies operate. For example, some industries require large investments in property, plant, and equipment (PP&E), while others require very little. In some industries, the competitive productpricing structure permits companies to earn significant profits per sales...
863 Words | 5 Pages
A Financial Ratio Quarterly Trend Analysis of:
Table of Contents
Section A 1
Financial Ratios 1
Assets Ratio 5
Profitability Ratios 5
Debt Ratios 6
Market Ratios 6
Section B 7
Quarterly Financial Analysis 7
Assets Utilization 8
Debt Analysis 8
Market Position 8
Section C 9
Abercrombie & Fitch and Clothing Industry 10
Section D 10
SWOT Analysis 10
Section E 12
Ethics and Corporate Governance 12
Section F 13
2,430 Words | 9 Pages
Ford Motor Financial Ratio Analysis
A well formulated financial ratio analysis report helps investors to quantify a company’s financial strengths and weaknesses and potential risks and opportunities and identify the company’s financial position. Using financial ratio analysis as a tool in conjunction with other business evaluation processes, and other company factors, is beneficial for the investors (Brealey, Meyers & Marcus, 2009).
The following report will provide the investor with a clear picture of the company’s current...
2,536 Words | 7 Pages