year 2014 Google Inc. had a net income of $16.86 million‚ an increase of 17% compared to the previous year. The net profit margin for the company was registered at 29%. (morningstar.com)The balance sheet provides that the Morningstar.com had total asset amounting to 72.89 million which is an increase from previous year. Total organizational profits were amounting to 110.9 million and shareholders’ equity of 87.31millions. The financial ratios for the company indicate that the company had a debt to
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Company B (0.93x)‚ that means inventories are sold and replaced faster than Company B. Company A has higher turnover because those institutions‚ especially hospitals “consume” health products faster and more. On the other hand‚ Company A has net fixed assets of 19.6%‚ higher than Company B (14.9%)‚ which probably because Company A has more equipments to support their robust research and development. Intangibles e.g. goodwill for Company B (46.1%) is higher compared to Company A (22.2%). Because B focuses
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Assignment 2: You are an Entrepreneur Roxanne Joseph-Jerry Strayer University ACC 557 Financial Accounting Professor Daniel Terfassa August 21‚ 2014 Table of Contents: Executive Summary Company Summary Start Up Summary Start Up Expenses Income Statement Balance Sheet Internal Control Compliance and Regulatory Bodies References Executive summary ABC Learning Academy aims to prepare its students to excel as young leaders of tomorrow by combining an exclusive collegiate-based
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2. Short-term liquidity Liquidity reflects the ability of a firm to meet its short-term obligations using assets that are most readily converted to cash. Short-term is usually considered as in 12 months or an operating cycle of a business. Assets that may be converted into cash in a short period of time are referred to liquid assets‚ which are recognised as current assets in financial statements. They are used to satisfy short-term obligations‚ or current liabilities. Liquidity is important because
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financial statements of a company; • Describe the form and content of balance sheet of a company; • Prepare the Balance Sheet of a company as per Schedule VI Part I of the Companies Act 1956. • Know the major headings under which the various assets and liabilities can be shown. • Explain the meaning‚ objectives and limitations of analysis using accounting ratios • Calculate various ratios to assess the solvency‚ liquidity‚ efficiency and profitability of the firm. • Interpret the various
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Running head: Financial Statement Analysis of Bata Pakistan “Bata Pakistan”; Financial Statement Analysis From 2005 to 2010 Anum Fatima BSc.IV Section: B Lahore School of Economics This report is submitted as partial requirement for Financial Statement Analysis of Pakistani Companies to Dr Farooq Chaudhry Abstract This paper does an in depth analysis of Bata Pakistan Limited. It includes a brief summary of accounting policies and standards of the company. The analysis revolves around financial
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deposits from businesses and consumers via checkable deposits‚ savings deposits‚ and time (or term) deposits. It makes loans to businesses and consumers. It also buys corporate bonds and government bonds. Its primary liabilities are deposits and primary assets are loans and bonds. The commercial bank generates a profit by paying depositors a lower interest rate than the bank charges on loans. Deposits are the mainly source of capital for a commercial bank.Referring to the 2008 Annual Report of Bank of
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Ratio is .93. 2009 QR is .85‚ CR is 2.33 2010 QR is .50‚ CR is 1.46‚ 2011. Fairly liquid‚ 2011 worst but in all 3 current assets are still rising faster than current liabilities. No they would not have the same interest in liquidity ratios. Creditors want a high ratio‚ since they could sell of some assets. Stockholders would not want their money tied up; and Managers want a happy medium from operation within industry average‚ but not such low inventories
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(See Exhibits 1‚2‚ and 3). Current Ratio = (current assets/current liabilities) = (16‚268/7‚600) = 2.1405% Inventory Turnover = (sales/inventory) = (26‚671/6‚133) = 4.3487% receivable____ = 5‚920___ = 81.01 Days DSO = annual sales/365 26‚671/365 Fixed Asset Turnover = (sales/net fixed assets) = (26‚671/3‚336) = 7.9949% Total Turnover Asset = (sales/total assets) = (26‚671/16‚268) = 1.6394% Total Debt to Total Assets = (total debt/total assets) = (9‚666/16‚268) = 0.5941% Time Interest Earned
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Financial Analysis (Profitability and Efficiency) 2.1 Return on Equity One of the major areas of interest to all stakeholders of Wesfarmers is its recent profitability‚ defined as ‘the ability to retain profit compared to a base such as sales‚ total assets or owner’s equity’ (Simmons and Hardy‚ 2013). The return on equity measures the amount of profit that has been retained compared to the amounts invested by ordinary shareholders. In $million 2011 2012 2013 Net profit after tax 01‚922 02‚126
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