Purchase Solution

Accounting: Financial Statement Ratio Analysis

Not what you're looking for?

Ask Custom Question

I am trying to analyse financial statements using published financial reports, the ones I know I will be facing in the real world compared to the exam type. I found one very challenging and too big. I have attached areas I want analysed, and I am asking for a detailed ratio analysis showing the relevant calculations and notes. I have eye sight problems typed solutions makes it easy. I am not sure about the credits.

When I first studied ratio analysis I use to calculate a lot of ratios and find something interesting to say about them and that did not really work. The financial statements were easy and straightforward and there were no complications in calculating any ratio but I don't think I knew the most important things to say about them.
As a result I am challenging myself by looking for the most difficult financial statements for big companies and analyse them in terms of the following and compare with similar companies in the same industry.
From a managers point of view I want to analyse the following company using there published accounts for 2011 and 2012.Inculding all relevant notes for better understanding. Information on www.Daimler.com.

(a) Evaluate the performance of DAIMLER in the following areas, using ratio analysis:

- Profitability
- Liquidity/Solvency
- Working capital efficiency
- Long term financial structure
Investors' perspective

Purchase this Solution
Solution Summary

The problem set deals with issues under accounting: Ratio analysis.

Solution provided by:
Chidi Ngene, M. Sc.
Education
  • B. Sc., University of Nigeria
  • M. Sc., London South Bank University
Recent Feedback
  • "Thank you."
  • "thank you Chidi Ngene.. if you have any APA references would be great"
  • "Thank you so much for your help, your explanations were easy to understand and apply!"
  • "are you able to highlight the equations used either on the xlsx or a word doc as to how each graph was formed- overall looks fine i just need help understanding this myself"
  • "Chidi Ngene, M. Sc. Was extremely helpful as without the help and guidance I would have failed, but with the help I passed. I still have a lot to learn and in need of the guidance to understand and learn more on the subject. I would recommend Chidi Ngene and BrainMass to anyone that are in need of help. Thank you!!"
Purchase this Solution
Free BrainMass Quizzes
Organizational Behavior (OB)

The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.

Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

Balance Sheet

The Fundamental Classified Balance Sheet. What to know to make it easy.

SWOT

This quiz will test your understanding of the SWOT analysis, including terms, concepts, uses, advantages, and process.

Introduction to Finance

This quiz test introductory finance topics.

View More Free Quizzes
Related BrainMass Solutions

  • Necessary Steps with Evaluating the Use of Financial Accounting

    The steps involved with evaluating the use of financial accounting information in making informed and ethical business decisions using comparative analysis and ratio analysis.

  • Accounting framework

    Moreover, the ratio analysis of financial of the company has been performed. // Accounting Framework There are two major premises that define the accosting framework.

  • Financial Management: Limitations of Ratio Analysis

    Collier, P.M. (2015) Accounting for Managers: Interpreting Accounting Information for Decision Making. USA: John Wiley & Sons. Fridson, M.S. and Alvarez, F. (2011) Financial Statement Analysis: A Practitioner's Guide. USA: John Wiley & Sons.

  • Discussion Regarding Financial Statements

    These tools are given below: Ratio Analysis: Ratio Analysis consists of the following: A) Comparative Statement Analysis B) Trend Analysis C) Inter Firm Analysis - Cash Flow Statement - Fund Flow Statement - Benchmarking the Performance

  • Objectives of the financial Statements

    * Creative accounting The businesses apply creative accounting in trying to show the better financial performance or position which can be misleading to the users of financial accounting. 2.

  • Statement of Cash Flows, Financial ratios

    What are the shortcomings of analyzing a company using only one financial ratio? 3. Why has the statement of cash flows become a more popular tool for financial analysis over the past few years? 4.

  • Coca Cola Financial Analysis

    611410 Coca Cola Financial Analysis Please help me with an analysis of the Coca-Cola Company for the years presented in The Accounting Framework, Financial Statements, and some Accounting Concepts (Bruns, 1992a).

  • Financial Statement Analysis and Decision Making

    253913 Financial Statement Analysis and Decision Making Financial statement analysis is a critical link between the generation of accounting data and the proper usage of the information in decision making.

  • Tools of Financial analysis & limitations

    Falk asks you, as an accounting major, to explain (a) the bases for comparison in analyzing Ventura financial statements and (b) the limitations, if any, in financial statement analysis.

  • Financial Statement Analysis, Flexible Budget

    Falk is an expert engineer but a Novice in accounting. Falk asks you, as an accounting major, to explain a) the bases for comparison in analyzing Ventura financial statements and (b) the limitations, if any, in financial statement analysis.

View More Related Solutions