Explore BrainMass

Using Income & Balance Sheet analyze Sales & Account Receivable

Using the Income and Balance Sheet Statements for 2007 & 2008 CocaCola, analyze:

Sales and Accounts Receivable and the degree of growth or strength in their relationship and how if they appear to "be in balance". Are there any abnormal or interesting issues?

Sales and Inventories: Is the firm's level of inventory in balance with their sales growth and strategy?

What is their Quality of Earnings?

How do I determine:
Short-Term Solvency: Current Ratio, Days Sales Outstanding, Inventory Turnover, and Days Accounts Payable Outstanding.

Long-Term Solvency: Interest Coverage, Operating Cash Flow to Total Liabilities.

What is their Return on Equity and the "degree" of Financial Leverage the firm currently has and does it support its business strategy?


Solution Summary

The degree of growth or strength in relationships for CocaCola in 2007 and 2008 are provided.