Discuss the importance of ratio analysis

Assignment Help Financial Management
Reference no: EM132074461

Assignment  - Financial Comparison Paper

Prepare a 3-page paperusing ratios and techniques learned in chapters 5 (Basics of Analysis, 6 (Liquidity of Short-Term Assets; Related Debt-Paying Ability, and 9 (For the Investor). Use the company Apple Inc. (AAPL) and Samsung Electronics Co. Ltd. (SSNLF) as the competitor.

Required Textbook Reference:

Gibson, C. H. (2013). Financial Reporting and Analysis (13th ed.). Mason, OH: South-Western Cengage Learning.

The paper must over the following:

1. Discuss the importance of ratio analysis

2. Calculate 6 ratios for both the company and one of its competitors for 2 years each (24 total ratios).

3. Select 4 industry average ratios to compare the company for the previous year.

4. For each of the ratios explain what the ratio may indicate about the company (compared to the previous year) and why the company may have done better or worse that its competitor.

Example:

 

Company

 

Competitor

 

2014

2015

 

2014

2015

Ratio 1

 

 

 

 

 

Ratio 2

 

 

 

 

 

Ratio 3

 

 

 

 

 

Ratio 4

 

 

 

 

 

Ratio 5

 

 

 

 

 

Ratio 6

 

 

 

 

 







 

Company

Industry




 

2015

2015




Ratio 1

 

 




Ratio 2

 

 




Ratio 3

 

 




Ratio 4

 

 




The paper will be graded on the ability to cite examples from the text or websites (except Wikipedia).

Paper guideline:

Introduction

-Provides an interesting introduction to the work. Clearly states the purpose of the work.

Analysis

-Clearly and fully states the problem and the recommendation. Makes a clear recommendation for the future. Connects to concepts presented in the texts and citations.

Conclusion

-Connects to the introduction in an interesting way. Is short and encompasses all of the main points in the paper.

Grammar, Speech Patterns, Punctuation and APA

-Clearly uses proper grammar, APA format in text citations and for all references. The paper is interesting and easy to read.

Reference no: EM132074461

Questions Cloud

Name the different types of triangles and quadrilaterals : Name the different types of triangles and quadrilaterals Hannah can make if she uses only toothpick for each side of each figure.
Describe the challenges the populations served by firm : XYZ University has required you to find at least three peer-reviewed articles in the EBSCO library to support your research this week. EBSCO tutorial.
What technologies are used by your company : What technologies are used by your company?a1. How are these technologies related to the business model and business objective?
Corporate social responsibility performance : This task requires you to work both individually and as part of a group to consider the Corporate Social Responsibility performance and stated values
Discuss the importance of ratio analysis : Discuss the importance of ratio analysis . Calculate 6 ratios for both the company and one of its competitors for 2 years each .
Recent business or political news story : Describe a decision from your own school or work experience or from a recent business or political news story that was made in an effort to correct
Determine the optimal reorder point and reorder quantity : Determine the optimal reorder point (R) and reorder quantity (Q) that will minimize the retailer's expected average annual cost of inventory holding,
Major assumption and requirement of just in time? : What are the major assumption and requirement of just in time? Is jit system possible to implement in nepal?
Why participant observation is considered archetypal : Explain why participant observation is considered archetypal.

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd