Financial_Statement_Analysis_Project (1)
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Financial Statement Analysis
A Comparative Analysis of Apple, Inc. and Microsoft, Inc.
Team Members: [Your Team Members]
Course: [Your Course]
Date: [Your Date]
Instructor: [Your Instructor]
Company Profiles
Apple, Inc.
[One-paragraph description of Apple, including history, products, location etc.]
Microsoft, Inc.
[One-paragraph description of Microsoft, including history, products, location etc.]
Ratio Analysis
Apple, Inc.
List and calculate the 16 financial ratios here for Apple. Include supporting calculations and
commentary.
Microsoft, Inc.
List and calculate the 16 financial ratios here for Microsoft. Include supporting calculations
and commentary.
Your preview ends here
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Summary and Conclusions
[Overall comparison of each company based on the ratios and your investment
recommendation.]
Bibliography
[List of references including textbook and financial statement URLs, formatted in APA style.]
Related Documents
Related Questions
Visit the website of the US Securities and Exchange Commission (SEC) https://www.sec.gov/edgar/searchedgar/companysearch.html Search for the latest Form 10-K for a company you would like to analyze. Submit a short memo that
A. Includes the name of the company you have chosen.B. Review the company’s end-of-period Balance Sheet to determine the following:
Total assets
Total liabilities
Total equity
C. Compare beginning and ending Assets totals and discuss the amount of change.D. Compare beginning and ending Liabilities totals and discuss the amount of change.E. Compare beginning and ending Equity totals and discuss the amount of change.
Please provide a link to the company’s Form 10-K to allow accurate verification of your answers.
arrow_forward
Please analyze, assess, and synthesize the Annual Report or Form 10-K or Form 20 - F (whatever they call
it in that jurisdiction) of the company you choose. You can usually find it on the Company's website in
Investor R. Introduction 2. Industry situation and company plans A. Management Letter B. B. Review
Company's Products and Services 3. Financial Statements A. Income Statement B. Cash Flow Statement
C. Balance Sheet D. Accounting Policies 4. Financial Analysis & Ratio A. Financial Analysis B. Ratio C.
Market Indicator Financial Ratios 5. References 6. Complete Calcuation of Part 4 in excelLimi
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Specialty Department Stores chief executive officer (CEO) has asked you to compare the company's profit performance and financial position with the
average for the industry. The CEO has given you the company's income statement and balance sheet, as well as the industry average data for retailers. Assets
\table[[Current assets, %,.71.1%
arrow_forward
The Financial Ratios Analysis tools provide an opportunity to...
O impress the accountants
Ogive some confidence about future decisions
Ogive some feedback about decisions made in the past
Oprovide another connection to determining the way a company is achieving its
financial goals
A, B and D
C and D only
arrow_forward
Mastery Problem: Financial Statement Analysis
Question Content Area
Liquidity and Solvency Measures
Your friend, another accountant, has bet you that with your knowledge of accounting and just the computations for common analytical measures, you can figure out many aspects of a company's financial statements. You take the bet!
Match each computation to one of the liquidity and solvency measures in the table. (Hint: Begin by looking for simple computations and identifying the amounts in those computations. Look for other measures that use those amounts.)
arrow_forward
When employees choose a company through financial statements, which parts ,point and ratio should be analyzed?at least 6
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Hello tutor give correct answer
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Working with the Takeaways throughout this chapter we have considered the financial statements of Apple Inc. and have undertaken select financial analysis using the Takeaways. Utilize
these same tools to analyze the financial data of
Logitech International, a manufacturer of computer peripherals. The following information was reported by Logitech in the company’s financial statements as of year-end March 31, 2017 and 2016.1. Calculate the return on sales ratio for each year and comment on Logitech’s profitability.2. Calculate the current ratio for each year and comment on Logitech’s liquidity.3. Calculate the debt-to-total-assets ratio for each year and comment on Logitech’s solvency. 4. Calculate the free cash flow for each year and comment on what this means for Logitech. 5. Apple’s fiscal year-end occurs near the end of September, whereas Logitech uses a March year-end. How might this affect a comparison of the financial results of the two companies?
arrow_forward
Mastery Problem: Financial Statement Analysis
Liquidity and Solvency Measures
Your friend, another accountant, has bet you that with your knowledge of accounting and just the computations for common analytical measures, you can figure out many aspects of a company's financial statements. You take the bet!
Match each computation to one of the liquidity and solvency measures in the table. (Hint: Begin by looking for simple computations and identifying the amounts in those computations. Look for other measures that use those amounts.)
Liquidity and Solvency Measures
Computations
Working capital
$3,095,000 – $900,000
Current ratio
$3,095,000 ÷ $900,000
Quick ratio
$1,866,000 ÷ $900,000
Accounts receivable turnover
$8,280,000 ÷ [($714,000 + $740,000) ÷ 2]
Number of days' sales in receivables
[($714,000 + $740,000) ÷ 2] ÷ ($8,280,000 ÷ 365)
Inventory turnover
$4,100,000 ÷ [($1,072,000 + $1,100,000) ÷ 2]
Number of days' sales in inventory…
arrow_forward
Mastery Problem: Financial Statement Analysis
Liquidity and Solvency Measures
Your friend, another accountant, has bet you that with your knowledge of accounting and just the computations for common analytical measures, you can figure out many aspects of a company's financial statements. You take the bet!
Match each computation to one of the liquidity and solvency measures in the table. (Hint: Begin by looking for simple computations and identifying the amounts in those computations. Look for other measures that use those amounts.)
Liquidity and Solvency Measures
Computations
Working capital
$3,095,000 – $860,000
Current ratio
$3,095,000 ÷ $860,000
Quick ratio
$1,866,000 ÷ $860,000
Accounts receivable turnover
$8,250,000 ÷ [($714,000 + $740,000) ÷ 2]
Number of days' sales in receivables
[($714,000 + $740,000) ÷ 2] ÷ ($8,250,000 ÷ 365)
Inventory turnover
$4,100,000 ÷ [($1,072,000 + $1,100,000) ÷ 2]
Number of days' sales in inventory…
arrow_forward
How to calculate the net profit margin ratio?
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Financial accounting
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The preceding table gives balance sheet percentages and selected financial data for three companies in very different industries - food and beverage, manufacturing, and social networking. Make three observations in each section - Assets, Liabilities and Net Worth, and Selected Financial Data - that you think are interesting. Describe what you think is going on.
arrow_forward
Question 15
Which 2 management report templates will be seen by default when
accessing a client's books via QuickBooks Online Accountant?
Expanded company financials
Sales performance
Basic company financials
Expenses performance
Company overview
Profitability performance
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Industry standards for financial statement onalysis:
Multiple Choice
Are used to compare a company's performance to industry performance.
Are based on rules of thumb.
Are set by the government.
Compare a company's income with its prior year's income.
Are based on a single competitor's financial performance.
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ASSIGNMENT:
REVIEW QUESTIONS
Direction: Answer comprehensively the following questions.
1. Explain the following statement, "While the statement of financial position can be
thought of as a snapshot of a firm's financial position at a point in time, the income
statement reports on operations over a period of time."
2. Financial statements are based on financial reporting standards and are audited by
CPA firms. Do investors need to worry about the validity of those statements? Explain
your answer.
3. How is income statement related to the statement of financial position?
4. Comment on why inflation may restrict the usefulness of the statement of financial
position as normally presented.
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Related Questions
- Visit the website of the US Securities and Exchange Commission (SEC) https://www.sec.gov/edgar/searchedgar/companysearch.html Search for the latest Form 10-K for a company you would like to analyze. Submit a short memo that A. Includes the name of the company you have chosen.B. Review the company’s end-of-period Balance Sheet to determine the following: Total assets Total liabilities Total equity C. Compare beginning and ending Assets totals and discuss the amount of change.D. Compare beginning and ending Liabilities totals and discuss the amount of change.E. Compare beginning and ending Equity totals and discuss the amount of change. Please provide a link to the company’s Form 10-K to allow accurate verification of your answers.arrow_forwardPlease analyze, assess, and synthesize the Annual Report or Form 10-K or Form 20 - F (whatever they call it in that jurisdiction) of the company you choose. You can usually find it on the Company's website in Investor R. Introduction 2. Industry situation and company plans A. Management Letter B. B. Review Company's Products and Services 3. Financial Statements A. Income Statement B. Cash Flow Statement C. Balance Sheet D. Accounting Policies 4. Financial Analysis & Ratio A. Financial Analysis B. Ratio C. Market Indicator Financial Ratios 5. References 6. Complete Calcuation of Part 4 in excelLimiarrow_forwardSpecialty Department Stores chief executive officer (CEO) has asked you to compare the company's profit performance and financial position with the average for the industry. The CEO has given you the company's income statement and balance sheet, as well as the industry average data for retailers. Assets \table[[Current assets, %,.71.1%arrow_forward
- The Financial Ratios Analysis tools provide an opportunity to... O impress the accountants Ogive some confidence about future decisions Ogive some feedback about decisions made in the past Oprovide another connection to determining the way a company is achieving its financial goals A, B and D C and D onlyarrow_forwardMastery Problem: Financial Statement Analysis Question Content Area Liquidity and Solvency Measures Your friend, another accountant, has bet you that with your knowledge of accounting and just the computations for common analytical measures, you can figure out many aspects of a company's financial statements. You take the bet! Match each computation to one of the liquidity and solvency measures in the table. (Hint: Begin by looking for simple computations and identifying the amounts in those computations. Look for other measures that use those amounts.)arrow_forwardWhen employees choose a company through financial statements, which parts ,point and ratio should be analyzed?at least 6arrow_forward
- Hello tutor give correct answerarrow_forwardWorking with the Takeaways throughout this chapter we have considered the financial statements of Apple Inc. and have undertaken select financial analysis using the Takeaways. Utilize these same tools to analyze the financial data of Logitech International, a manufacturer of computer peripherals. The following information was reported by Logitech in the company’s financial statements as of year-end March 31, 2017 and 2016.1. Calculate the return on sales ratio for each year and comment on Logitech’s profitability.2. Calculate the current ratio for each year and comment on Logitech’s liquidity.3. Calculate the debt-to-total-assets ratio for each year and comment on Logitech’s solvency. 4. Calculate the free cash flow for each year and comment on what this means for Logitech. 5. Apple’s fiscal year-end occurs near the end of September, whereas Logitech uses a March year-end. How might this affect a comparison of the financial results of the two companies?arrow_forwardMastery Problem: Financial Statement Analysis Liquidity and Solvency Measures Your friend, another accountant, has bet you that with your knowledge of accounting and just the computations for common analytical measures, you can figure out many aspects of a company's financial statements. You take the bet! Match each computation to one of the liquidity and solvency measures in the table. (Hint: Begin by looking for simple computations and identifying the amounts in those computations. Look for other measures that use those amounts.) Liquidity and Solvency Measures Computations Working capital $3,095,000 – $900,000 Current ratio $3,095,000 ÷ $900,000 Quick ratio $1,866,000 ÷ $900,000 Accounts receivable turnover $8,280,000 ÷ [($714,000 + $740,000) ÷ 2] Number of days' sales in receivables [($714,000 + $740,000) ÷ 2] ÷ ($8,280,000 ÷ 365) Inventory turnover $4,100,000 ÷ [($1,072,000 + $1,100,000) ÷ 2] Number of days' sales in inventory…arrow_forward
- Mastery Problem: Financial Statement Analysis Liquidity and Solvency Measures Your friend, another accountant, has bet you that with your knowledge of accounting and just the computations for common analytical measures, you can figure out many aspects of a company's financial statements. You take the bet! Match each computation to one of the liquidity and solvency measures in the table. (Hint: Begin by looking for simple computations and identifying the amounts in those computations. Look for other measures that use those amounts.) Liquidity and Solvency Measures Computations Working capital $3,095,000 – $860,000 Current ratio $3,095,000 ÷ $860,000 Quick ratio $1,866,000 ÷ $860,000 Accounts receivable turnover $8,250,000 ÷ [($714,000 + $740,000) ÷ 2] Number of days' sales in receivables [($714,000 + $740,000) ÷ 2] ÷ ($8,250,000 ÷ 365) Inventory turnover $4,100,000 ÷ [($1,072,000 + $1,100,000) ÷ 2] Number of days' sales in inventory…arrow_forwardHow to calculate the net profit margin ratio?arrow_forwardFinancial accountingarrow_forward
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SEE MORE QUESTIONS
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Recommended textbooks for you
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- Financial AccountingAccountingISBN:9781305088436Author:Carl Warren, Jim Reeve, Jonathan DuchacPublisher:Cengage LearningPkg Acc Infor Systems MS VISIO CDFinanceISBN:9781133935940Author:Ulric J. GelinasPublisher:CENGAGE L
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:9781337679503
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Publisher:Cengage

Financial Accounting: The Impact on Decision Make...
Accounting
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Cengage Learning

Financial Accounting
Accounting
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Cengage Learning

Pkg Acc Infor Systems MS VISIO CD
Finance
ISBN:9781133935940
Author:Ulric J. Gelinas
Publisher:CENGAGE L