Calculations of various ratios

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Reference no: EM131971522 , Length: word count:1800

Financial Accounting Assignment Task -

You are required to identify six different groups of users of financial statements, ensuring that both the internal and external users are fairly represented. Obtain the latest three consecutive years of the published Income Statement and Balance Sheet for two companies (preferably operating in the same industry) listed on the London Stock Market. These accounts should be uploaded as an appendix to the coursework.

Describe each user group and discuss the purposes for which they use the financial statements.

Your analysis should include:

  • A brief summary of the company.
  • Calculations of various ratios which will be used to analyse the company's performance over the years, choosing at least two from profitability, liquidity, and working capital and solvency ratio.
  • An analysis of each ratio calculated.
  • A summary of your findings in the conclusion.

Your assessment must contain an introduction and conclusion detailing the results of your analysis.  The word count should not exceed 10% of the total stipulated and students will be penalised for failure to keep to this.  The word count does not include reference/bibliography and appendices.

Reference no: EM131971522

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Reviews

len1971522

5/5/2018 4:46:26 AM

Word Limit: 1,800 words (with 10% plus or minus leeway). Learning outcomes to be examined in this assessment: The ability to prepare the statement of income and balance sheet using international accounting standards and including associate companies. Assessment criteria: Explanatory comments on the assessment criteria. Content, style, relevance, originality: Clear demonstration of rigorous research from recognised authoritative sources. Audience focus. Format, referencing, bibliography: Harvard. Constructive critical analysis, introduction, conclusion: Demonstration of a clear understanding of the issues. Use of academic models.

len1971522

5/5/2018 4:46:20 AM

Students must clearly label their ID Number on additional separate reference, formula or answer sheets. What is expected within students’ answers. Ability to introduce the report, by including assignment objectives, companies selected, and financial statements obtained, (the income statement and the statement of financial position should be attached in the appendices).Write a brief history of each company selected, to provide the reader with some background information about these companies.

len1971522

5/5/2018 4:46:15 AM

The description of the user groups and purposes for which they use the financial statements should demonstrate a clear understanding of the issues. Analysis and calculations of relevant and specific financial informationthat reflect the two (2)companies’ performance from the perspective of each of the user groups identified should demonstrate the ability to relate theory to the real world.

len1971522

5/5/2018 4:46:09 AM

Arguments should be clearly summed up to reach a conclusion. Clear, professionalevidence of wide research should be provided. Very high standard of critical analysis using appropriate conceptual frameworks. Excellent understanding and exposition of relevant issues. Clearly structured and logically developed arguments. Good awareness of nuances and complexities. Substantial evidence of well-executed independent research. Excellent evaluation and synthesis of source material. Relevant data and examples, all properly referenced.

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