Functioning of the financial reporting system

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Reference no: EM13343194

"The objective of financial statements is to provide information about the financial position, performance and changes in financial position of an entity that is useful to a wide range of users in making economic decisions"

Do current published financial statements achieve this objective?

The analysis should be well explained and cover:
1. Profitability
2. Liquidity
3. Gearing
4. Shareholder Interests

2 chosen FTSE companies:
• Tate & Lyle Plc.
• Dairy Crest Plc.

Further Information:

You are required to present well-structured answers in the form of a report to a potential new investor who is looking to invest in one of the companies that you have analysed. The report should useapproximately 3500 words (excluding calculations) and should make appropriate and justified conclusions that include an answer to the question above.

Learning outcomes assessed:
• Understand the functioning of the financial reporting system
• Understand the components of financial statements and the relationships between them
• Evaluate the relevance of the information contained in a firm's financial statements
• Use financial ratios to evaluate a company's performance

Reference no: EM13343194

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