Reference no: EM132270370
Assignment
Analyze and Compare Cash Flow vs Income Statement Ratios to each other and across years.
Required: First, write a short explanation about what the Year Ending 2015 ratios you calculated in Part B of the Module 5 Excel Workbook Assignment tell you for the three ratios in Item (B1) and for the two ratios in Item (B2). Discuss your findings in terms of Quality of Earnings and Risk for Impropriety in reporting Income.
Second, compare your 2015 ratios that you calculated in Part B of the Module 5 Excel Workbook Assignment to the 2014 ratios provided to you below. Explain briefly how these comparative ratios support or fail to support your assumptions made about the company's Quality of Earnings and Risk for Impropriety in financial reporting.
Base your discussion on the Company information provided, your textbook, and other course resources available to you for Module 5. Your essay will be graded based on the rubric presented below. You are limited to 200 words for this essay.
A. Create the Statement of Cash Flows using the Indirect Method from the information provided. Include the required supplemental information regarding interest and taxes, and include any significant non-cash transactions.
B. Calculate the Operating Cash Flows to Net Sales Ratio; the Operating Income to Net Sales Ratio; and the Net Income to Net Sales Ratio; (2) Calculate the Operating Cash Flow on Total Assets Ratio and the Return on Total Assets Ratio. Be sure to use Average Total Assets in your denominator for these last two ratios.
Attachment:- Instruction short essay analysis.rar