Harvey Norman and JB Hi-Fi financial compariosn
Table of Contents
Assignment Objective:
The main aim of this assignment is to present an exploration of two major parts of financial statements i.e. Statement of Comprehensive income and statement of financial position. This is done by comparing elements of Balance Sheet and income statement of two separate companies and discussing similarities and difference of Presentation and Disclosures of these two separate organizations.
Furthermore, discussing different methods adopted by two separate entities to measure Assets and Liabilities. Along with key strengths and weaknesses demonstrated by the Balance sheet of organizations. For this purpose we will use key ratios to identify difference between different periods presented in Balance sheet of Organizations.
Along with the Balance Sheet, we will also discuss structure of Income statement of two separate organizations, and methods to recognize Income and expenses over a period of three years.
Moreover, we will analyze strengths and weaknesses of these entities as revealed from Income statement.
In the end, we will analyze the strengths and weaknesses of the entities from cash flow perspective.
Introduction of Companies:
JB Hi-Fi Limited:
The business was established in 1974 by Mr. John Barbuto (JB), trading from a single store in East Keilor, Victoria. He had one simple philosophy: to deliver a specialist range of Hi-Fi and recorded music at Australia 's lowest prices. The business was sold in 1983 and by 1999 another nine stores were opened. In July 2000 JB Hi-Fi was purchased by private equity bankers and senior management with the aim of taking the successful model nationally. In October 2003, JB Hi-Fi was floated on the Australian Stock Exchange. Now, maintaining Barbuto 's original philosophy, JB is one of Australasia 's fastest growing and largest retailers of home entertainment. In July 2004, JB bought the Queensland Clive Anthony chain of stores which sell
Assignment Objective:
The main aim of this assignment is to present an exploration of two major parts of financial statements i.e. Statement of Comprehensive income and statement of financial position. This is done by comparing elements of Balance Sheet and income statement of two separate companies and discussing similarities and difference of Presentation and Disclosures of these two separate organizations.
Furthermore, discussing different methods adopted by two separate entities to measure Assets and Liabilities. Along with key strengths and weaknesses demonstrated by the Balance sheet of organizations. For this purpose we will use key ratios to identify difference between different periods presented in Balance sheet of Organizations.
Along with the Balance Sheet, we will also discuss structure of Income statement of two separate organizations, and methods to recognize Income and expenses over a period of three years.
Moreover, we will analyze strengths and weaknesses of these entities as revealed from Income statement.
In the end, we will analyze the strengths and weaknesses of the entities from cash flow perspective.
Introduction of Companies:
JB Hi-Fi Limited:
The business was established in 1974 by Mr. John Barbuto (JB), trading from a single store in East Keilor, Victoria. He had one simple philosophy: to deliver a specialist range of Hi-Fi and recorded music at Australia 's lowest prices. The business was sold in 1983 and by 1999 another nine stores were opened. In July 2000 JB Hi-Fi was purchased by private equity bankers and senior management with the aim of taking the successful model nationally. In October 2003, JB Hi-Fi was floated on the Australian Stock Exchange. Now, maintaining Barbuto 's original philosophy, JB is one of Australasia 's fastest growing and largest retailers of home entertainment. In July 2004, JB bought the Queensland Clive Anthony chain of stores which sell