I will be using their annual report from 2011, and explain the main sections of the report, discuss key factors that helped influence the company’s financial performance for the year stated above, the company’s assets, and we will also explain how management characterizes the internal control environment. Annual reports for a company are usually divided into sections to separate different topics or ideas. In the annual report for eBay, the main sections that are spoken about are the business section, legal proceedings, selected financial data, market for related stockholder matters and issuer purchaser equity. The business section of the annual report basically tells exactly what the business is. It informs the reader on when the business was founded, who founded it, what products and services the business offers, and how many customers have used their business.
Forecasting Financial Statements of Apple Inc. Natalia Andruszkiewicz International American University FIN 500: Financial Management Abstract In this paper will show the Forecasting Financial Statements of Apple Inc. we will be able to see why Forecasting Financial Statements are important for the company and investors. Key words: financial statement, forecasting statement, Apple Inc., investors. The use of historic data to focus the heading of future trends. Forecasting is utilized by organizations to decide how to allot their financial plans for a forthcoming time of time. This is regularly taking into account interest for the merchandise and administrations it offers, contrasted with the expense of creating them.
Phase 1 Task 2: Individual Project Applied Managerial Accounting ACCT614-1204A-01 Colorado Technical University Professor: Tracie Edmond Donna Smith 10/15/2012 ABSTRACT: In this assignment I am a “corporate business financial analyst” and I will be discussing the essential financial information, such as explaining the basic financial statements and the type of information that each statement contains, and how this information is used and why it is necessary for the Board of Directors and executive management team with essential financial information on the management of the enterprise. MEMO: 10/15/2012 COMPANY: The Sparklin Automotive Company (SAC) TO: The Board of Directors and Executive Management Team TOPIC: Basic Financial Statements and Accounting Information FROM: Donna Smith In this memo is a list of the basic financial statements, including the information that is needed for each statement, and what this information is used for. These statements will help you to understand these financial statements and the necessary information that is needed for each statement. There are many factors to consider in planning, controlling, and decision making processes. There are several reasons to review and compare the different sections of the company’s financial statements, which are explained within this documentation.
Those statements are balance sheets, income statements, and statement of cash flows. We will compare the three financial statements of Ford with Toyota and BMW’s financial statements to determine if Ford is the company to invest in. Balance Sheet Comparison “A balance sheet is the financial statement that reports a firm’s financial condition at a specific time” (Nickels, McHugh, & McHugh, 2010, Chapter 17). In this table, it shows the balance sheets for Ford, Toyota, and BMW for 2010. The values in this table are in millions.
Discuss the advantages and the limitations of “ratio analysis” There are several advantages and limitations of accounting ratios, I will address some of the key ones in this section Advantages * Accounting ratios can be used by investors to make decisions on whether or not to invest in a company or sell existing shares. * Accounting ratios can be used by management to give an indication of a company’s financial health i.e. is the company profitable? Can they meet creditor obligations? Are stock levels being efficiently managed?
The vertical analysis of the income statement reports amounts as a percentage of sales. The restated amounts are known as a common-size income statement, horizontal analysis concentrate more on the reported numbers on the financial statements over the past years. The Balance Sheet and the Statement of Income are very important, but they don’t provide enough information for a financial management. The Ratio Analysis in financial statements is to analyze progress of the business. Ratio Analysis enables managers to compare its performance and condition with the average performance of similar businesses in the same industry.
of words: 6322 words | Table of Contents 1.0 Project Objectives and Overall Research Approach 2.1 Reasons for Choosing Topic 8 and Organization……...……………4-5 2.2 Reasons for Choosing Honda Group………………………..………….6 2.3 The Project Objectives and Research Questions………..………….7-8 2.4 Overall Research Framework……………..………………………...…..9 2.0 Information Gathering and Accounting/Business Techniques 3.5 Sources of Information………..…...……………………..………….10-12 3.6 Methods Used to Gather Information………………..………………...13 3.7 Limitations of Information Gathering…………………………..…...….14 3.8 Ethical Concerns…………………...…………………...…………….…15 3.9 Accounting and Business Techniques…………………..…………….16 3.0 Results, Analysis, Conclusion and Recommendations 4.10 Analysis of Honda Group’s Financial Performance………...………..17 4.11.1 Profitability Ratios………………………………………….……….. * Gross Profit Margin…………………………..…...……….18-19 * Net Profit Margin…………………………………….…….19-21 * Return on Investment.....................................................21-22 4.11.2 Liquidity Ratios……………………………………………………… * Accounts Receivable Turnover (In Days)……...……..…23-24 * Current Ratio…………………………………..…………...24-26 * Inventory Turnover Ratio (In Days)…………………...…26-28 4.11.3 Long-Term Debt-Paying Ability……………………………………. * Debt/Equity Ratio………………………………………….29-30 * Operating Cash Flow/Total Debt……..………………….30-32 4.11 Business Analysis of Honda Group ………………………………….33 4.12.4 Threat of
Chrysler like other automobile manufacturers experienced a slump in car sales until the Obama Administration revived the American automobile industry. Today, Chrysler is bobbling in sales like never before. A firm’s success is dependent on the type of strategy it adopts and this is done through policies, procedures, and approaches to the business strategy. Target strategy is one of those strategies that businesses could implement in order to enhance their competitive edge. According to Blocher, Stout, Juras, and Cokins, target costing is the desired cost for a product to stay competitive while earning a desired profit (Blocher, Stout, Juras, Cokins, 2013).
Analysis of Texas Instruments 2007 – 2011 Financial Statements Masud Alam Texas A&M University – Commerce Financial Statement Analysis, ACCT 575 - 01W Spring 2013 INTRODUCTION Purpose: The purpose of this paper is to perform a comprehensive financial statement analysis of two publicly traded companies and to come up with a recommendation of whether investing in any of these two companies would be a sound financial decision. The two companies that are in discussion are Texas Instruments (TI) and Intel Corporation (INTC). In this report, TI is considered as the main company and INTC is considered as the competitor company. Both these companies belong to Semiconductor Industry. Analysis approach: In this report, five years (2007-2011) financial statements data and various financial ratios of these two companies are compared and analyzed.
Finally, a benchmarking analysis with a comparison to the same two companies mentioned above will be presented. Financial Statements Each statement gives the reader important information about the company, but the reader must also look at how the information flows from one statement to another through a ratio analysis. The Inernational Financial Reporting Standards and International Accounting Standards Board (2008) have proposed the use of the same section names and categories in each of the statements. Figure A shows details of their proposal, which is currently under consideration by the Financial Accounting Standard Board (FASB). This section will look at each statement and then an analysis between them using ratios.