Assignment
UNIT 101 – FINANCE MANAGEMENT
LECTURER:
SUBMITTED ON: 03.04.2014
STUDENT NAME:
Table of Contents
Summary…………………………………………………………………………….…………… Page 4
Introduction…………………………………………………………………..………………….. Page 5
1. Ratios…………………………………………………………………………………………. Page 6
2. Evaluation…………………………………………………………………………………… Page 7
2.1. Short term solvency or liquidity ratios Page 7
2.2. Efficiency ratios Page 7
2.3. Profitability ratios Page 8
2.4. Long term solvency ratios Page 8
2.5. Market based investment and other ratios Page 8
Conclusion…………………………………………………………………………………………………………………… Page 9
Bibliography & References……………………….………………………………………………………………….. Page 10
1. List of Tables
Table 1.1 Short term solvency or liquidity ratios……………………………………………..... Page 6
Table 1.2 Efficiency ratios……………………………………………………………………..... Page 6
Table 1.3 Profitability ratios……………………………………………………………………... Page 6
Table 1.4 Long term solvency ratios……………………………………………………………. Page 6
Table 1.5 Market based investment and other ratios…………………………………………. Page 7
Summary
Wesfarmers financial statement shows improvement in majority areas. Revenue has gone up indicating growth,EBIT and net profit has shown an upward trend in company’s net earnings. The liquidity, efficiency profitability, financing and market ratio indicate the state of health of the company. Basically the solvency, efficiency ratio and market based investment ratios are the powerful indicator of a firm’s performance, its ability to meet financial obligation short term or long term. Its investment technique, inventory monitoring evaluation strength, indicates how well the capital budget and capital structure is managed. It’s a tool through which, we can assess its receivable collection efficiency in terms of day and how well purchases and accounts payable are
LECTURER:
SUBMITTED ON: 03.04.2014
STUDENT NAME:
Table of Contents
Summary…………………………………………………………………………….…………… Page 4
Introduction…………………………………………………………………..………………….. Page 5
1. Ratios…………………………………………………………………………………………. Page 6
2. Evaluation…………………………………………………………………………………… Page 7
2.1. Short term solvency or liquidity ratios Page 7
2.2. Efficiency ratios Page 7
2.3. Profitability ratios Page 8
2.4. Long term solvency ratios Page 8
2.5. Market based investment and other ratios Page 8
Conclusion…………………………………………………………………………………………………………………… Page 9
Bibliography & References……………………….………………………………………………………………….. Page 10
1. List of Tables
Table 1.1 Short term solvency or liquidity ratios……………………………………………..... Page 6
Table 1.2 Efficiency ratios……………………………………………………………………..... Page 6
Table 1.3 Profitability ratios……………………………………………………………………... Page 6
Table 1.4 Long term solvency ratios……………………………………………………………. Page 6
Table 1.5 Market based investment and other ratios…………………………………………. Page 7
Summary
Wesfarmers financial statement shows improvement in majority areas. Revenue has gone up indicating growth,EBIT and net profit has shown an upward trend in company’s net earnings. The liquidity, efficiency profitability, financing and market ratio indicate the state of health of the company. Basically the solvency, efficiency ratio and market based investment ratios are the powerful indicator of a firm’s performance, its ability to meet financial obligation short term or long term. Its investment technique, inventory monitoring evaluation strength, indicates how well the capital budget and capital structure is managed. It’s a tool through which, we can assess its receivable collection efficiency in terms of day and how well purchases and accounts payable are
References: (Readyratios.com, 2013);(Investopedia, 2009): . (Readyratios.com, 2013);(Investopedia, 2009):