Analyze Superior's Balance Sheet Using Ratios: a Memo to the CFO
Not what you're looking for?
Look at Superior's balance sheet attached and analyze it. Be sure to focus on working capital, current ratio, short-term and long-term debt. End with a bullet-point summary addressing the CFO's concerns as related to these areas.
Purchase this Solution
Solution Summary
The response includes an annotated memo analyzing the balance sheet and concluding in a short summary. 1035 words with 4 references.
Solution Preview
Understanding and analyzing the financial statements of the organizations is important to know about the progress of various areas. Balance Sheet will help to analyze the performance of critical areas and how they are benefiting the organization; also what are the improvements required in them. Before moving forward, with the analysis of those critical areas, we should garner some basic understanding of some of those areas and draft the memo like this:
Memorandum
To: CFO of the Superior Company
Date: October 15, 2009
From: Employee of the Superior Company
Sub: Analyzing the Company's Balance Sheet
Balance Sheet is one of the important financial statements that help the companies to understand their financial position. Companies analyze their balance sheet thoroughly to understand the position of various critical areas and thus, if required, can take the necessary steps.
Analyzing the Balance Sheet of the Company
Balance Sheet is a financial statement that is basically prepared at the end of the financial year of the company. It pictures the financial position of a company that it holds on a particular day. Balance sheet is analyzed by its potential investors, existing shareholders, government, auditors and the management of the company for specific purposes. There are different tools and aspects to analyze the balance sheet of the company like ratios, debts and equity financing, working capital investment, reserves and surplus etc.
((As we have discussed the balance sheet and its importance of other stakeholders, we should move forward and ...
Education
- MBA (IP), International Center for Internationa Business
- BBA, University of Rajasthan
Recent Feedback
- "Thank You so much! "
- "Always provide great help, I highly recommend Mr. Sharma over others, thanks again. "
- "great job. I will need another help from you. "
- "first class!"
- "Thank you for your great notes. Will you be willing to help me with one more assignment? "
Purchase this Solution
Free BrainMass Quizzes
Production and cost theory
Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.
MS Word 2010-Tricky Features
These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.
Cost Concepts: Analyzing Costs in Managerial Accounting
This quiz gives students the opportunity to assess their knowledge of cost concepts used in managerial accounting such as opportunity costs, marginal costs, relevant costs and the benefits and relationships that derive from them.
Accounting: Statement of Cash flows
This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.
Basic Social Media Concepts
The quiz will test your knowledge on basic social media concepts.