Financial Statement Analysis

FINANCIAL STATEMENT ANALYSIS PGD BUSINESS MANAGEMENT MODULE : FINANCE parry Of Contents INTRODUCTION................................................................................................................................... 1 2. ABOUT SAINSBURYS3 3.1. PROFITABILITY RATIO4 3.1.1 Gross Profit boundary line4 3.1.2 Gross Mark-up5 3.1.3 Operating Profit5 3.1.4 Net Profit valuation account6 3.1.5 Return On Capital Employed (ROCE)7 3.1.6 Finance cost7 3.2 LIQUIDITY RATIO8 3.2.1 Current Ratio8 3.2.2 Quick / battery-acid Test Ratio8 3.3 GEARING RATIO9 3.4 INVESTOR RATIOS10 3.4.1 Earnings per sell (EPS)10 3.4.2 Price - Earnings Ratio (PE Ratio)10 3.4.3 Dividend Per Share (DPS)11 3.5 EFFICIENCY RATIOS11 3.5.1 neckcloth Turn Over Ratio11 3.5.2 Debtor Days / receivable Days12 3.5.3 Creditors Days12 3.5.4 Asset Turn-Over Ratio13 4. LIMITATIONS OF FINANCIAL STATEMENTS13 digest14 REFERENCES15 INTRODUCTION Financial Statement presents the pecuniary performance of an organisation all over a period of time. It helps the investors and analysts to get to know how the company operates ?, What is their financial position (assets and liabilities)? , What could be the future of the company (by reading the theatre directors report)?.

It is prepared according to the Generally Accepted Accounting Principles (GAAP) of the terra firma in which the organisation operates. A financial disceptation ordinarily contains four sections - Balance Sheet, Income Statement, Owners honor Statement and hard cash Flow Statement. Balance Sheet is a statement of Assets and Liabilities (financial position) as on a particular date. Income Statement presents the revenues generated and the expenses incurred over a period of time. Statement of Owners Equity captures the movements in the Equity (Fresh Issue and Buy Back) and retained earnings. Cash Flow statement contains the Operating, Investing and Financing cash flows over a period of time.... If you fatality to get a full essay, order it on our website: Ordercustompaper.com

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