What components of stockholders equity

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Reference no: EM13722261

Review the financial statements for the companies ( General Mills and Meji Holdings and answer the following questions for the last reporting year. If no information is available, state that to be the case:

Balance Sheet

What components of stockholders' equity do each of the companies disclose?
Do the companies have preferred stock shares outstanding? If so, what special features do these shares contain?
Do either of the companies report treasury shares? If so, do the companies disclose the reason for reacquiring the shares?

Income Statement

What are the basic and diluted earnings per share for each company?
Have the companies reported any discontinued operations?

•Do the companies disclose any stock compensation plans? If so, are they reporting such plans under the fair value or intrinsic value methods? What was the value of compensation expense measured for any outstanding stock option plans?

Financial Ratios

Compute the following ratios. Also, interpret and assess each group of ratios for the company. What type of story are the ratios telling the analyst?

Profitability ratios: ?Gross profit margin

?Net profit margin
?Return on stockholders' equity

Liquidity ratios: ?Current ratio

?Quick ratio
?Inventory turnover

Leverage ratios: ?Debt-to-assets

?Debt-to-equity
?Times-covered ratio

What type of information do you find in footnotes to the financial statements?

Do you find the balance sheet, income statement or other measures such as ratios the most informative? Comment on the advantages and disadvantages of using ratios for analysis.

Assignment Expectations

It is important to answer the questions as posed. The discussion should be 4 to 6 pages and written in a clear and concise manner. Support your discussion with references in APA format. You are encouraged to use Excel or other compatible spreadsheet when computations are involved.

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Reference no: EM13722261

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