Financial statement analysis

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Reference no: EM132298920

Financial Statement Analysis

Thank you with your client with the firm's first set of statement. That was a great help allowing the firm to get an with what it does best -manufacturing motor vehicle parts.

It is now 3 years later -the middle of January 2023. Your client has provided you with a complete set of financial statement for the last three years, and has asked for help in analyzing and interpreting the firm's performance. The client has heard about various financial ratios which can be used aid in the analysis of financial statement, but doesn't know how to calculate them or interact them and has you to help with this.

Before you start analyzing the firm's financial statements. You will need to obtain industry awareness for each of the standard financial statement ratios. These are provided in the P and A tab.

Your task:
1. Calculate the 16 ratios shown in the Part3(A) tab, for each of the last three years.
2. Analyze the firm's performance over the last three years by completing the Part 3(B) tab. Identify any strengths or weakness, in terms of positive or negative trends.
3. Analyses the firms performance in comparison to industry average for each of the ratios, by completing the part 3(C) tab, identify any apparent strengths or weakness.
4. Summaries the firm's performance in terms of profitability, efficiency, liquidity, leverage and potential for investment by completing the part 3(D) tabs.
5. Briefly explain to the client any possible problems with your analysis that the client should bear in mind, by completing the part 3 (E) tab.

Attachment:- task.zip

Reference no: EM132298920

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