Critically discuss the need for the public limited companies to prepare a Statement of Cash Flows and explain the usefulness of the information contained therein from the perspective of a financial analyst.
Critically discuss the need for the public limited companies to prepare a Statement of Cash Flows and explain the usefulness of the information contained therein from the perspective of a financial analyst.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Critically discuss the need for the public limited companies to prepare a Statement of Cash Flows and explain the usefulness of the information contained therein from the perspective of a financial analyst.
Transcribed Image Text:2 Year
2016
2015
3 ROE
-1.623 -0.0414
4 B)
5 Year
6 Gross Profit Margin
7 C)
2016|
19.4%
2015
32.0%
7
2016
2015
0.60
8 Year
9 Total Asset Turnover
0.64
10 D)
2016
4.77
2015
4.93
11 Year
12 Inventory Turnover
13 E)
14 Year
2016
2015
15 Current Ratio
1.23
1.39
16 F)
2016
2.52
17 Year
2015
18 Debt to equity
19 F)
1.49
2016
-10.69
2015
0.21
20 Year
21 Interest Coverage ratio
Transcribed Image Text:Below you will find the financials of Cobham PLC for 2014-2016:
Income statement £m
2016
2015
2014
Revenue
1,943.9
(1.567.3)
376.6
1,851.7
(1.408.2) (1.290.1)
561.6
(504.0)
57.6
2,072.0
Cost of sales
Gross profit
663.8
(1,155.7)
(779.1)
4.1
SG&A
(651.8)
12.0
Operating (loss) profit
Finance income
5.2
6.4
(72.9)
(847.9)
52.8
(795.1)
Finance cost
(57.0)
(39.8)
2.1
(37.7)
(39.7)
24.3
(Loss)/profit before taxation
Таxation
4.7
(Loss)/profit after taxation
29.0
Balance sheet £m
2016
2015
2014
Non-current assets
PPE & Intangibles
Investment properties
Investment in joint ventures and associates
Trade and other receivables
1,588.8
2,109.4
4.3
3.0
2,430.8
3.6
10.4
3.6
3.1
66.0
71.3
51.1
Deferred tax asset
42.3
11.4
10.5
25.8
1,730.1
Financial assets
12.6
2,212.0
13.7
2,519.6
Current assets
Inventories
405.3
410.4
429.5
Trade and other receivables
409.8
366.0
435.3
0.4
236.4
1,101.6
Current tax receivables
3.1
8.6
Financial assets (including cash)
244.7
1,062.9
320.6
1,105.6
Current liabilities
Borrowings and other financial liabilities
Trade and other payables
199.7
398.1
103.1
22.2
430.8
505.5
Provisions
180.6
74.3
60.5
Current tax liabilities
149.5
864.0
125.1
797.2
119.2
707.4
Non-current liabilities
Borrowings and other financial liabilities
Trade and other payables
1,235.7
31.5
1,359.0
24.8
1,462.3
36.2
Provisions
57.3
27.6
87.0
68.2
66.5
Deferred tax liabilities
102.0
134.5
Retirement benefit obligations
56.7
102.0
1,801.5
1,439.1
1,610.7
Equity
489.9
909.7
1112.3
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