All categories

3 years ago

How do you plan to use financial statements in your projected financial statement analysis? Provide rationale for your approach.

Business

1 answer:

kotykmax [81]3 years ago

6 0

Answer:

The financial statement provides the "raw materials" with which the financial performance of an organisation may be analysed.

The financials ratios not only monitor financial performance, but it also speaks to the quality of performance and serves as a basis to compare one period against the other.

The cashflows help to create a picture of the project's liquidity in each of the forecasted periods.

The Income statement helps to gauge the quality of the earnings per period and the balance sheet shows the economic position of the firm at the time under observation.

Cheers!

You might be interested in

Secondary technology skills are skills that may be improved as the online class progresses. T or F

Nitella [24]

I think its true but im not sure

7 0

3 years ago

Read 2 more answers

Chapman Machine Shop is considering a 4-year project to improve its production efficiency. Buying a new machine press for $576,0

DIA [1.3K]

Answer:

The Firm should not Buy and Install the press as it delivers a negative NPV of -$24,924 at 11% discount rate over its 4 year operations

Explanation:

The General rule is to appraise the investment based on various appraisal techniques.

A technique that should be considered must have special focus on the time value of money, the required rate of returns expected by the firm and other Cashflow considerations.

The Net Present Value (NPV) approach will be the best method to proceed with.

The NPV approach typically falls under the following decision tree:

a. If NPV is negative (Reject the proposal)

b. If NPV is positive (Accept if it's a singular project, Accept the highest positive NPV if it's for mutually exclusive Projects)

c. If Zero (this is the breakeven line at which the Project covers all its cost but does not return a profit.) Also referred to as the IRR

Kindly refer to the attached for detailed workings

6 0

3 years ago

A person who does not lock the doors or does not repair leaks shows an indifferent attitude. This person presents what type of h

Natalija [7]

Answer:

Morale.  Defined as the attitude of individual groups toward their work environment toward voluntary cooperation to the full extent of their ability in the best interest of the organization.

4 0

3 years ago

When Larry purchased a Jet Ski personal watercraft for $4,999, he was also given free financing and three hours of free lessons

stellarik [79]

Answer:

Value added

Explanation:

Value-added - it is the total difference that comes out between the product value in the market and the cost of producing that product. cost of a product is based on the survey which gives the idea that how much cost may be assigned to the product.

The value of this difference help to determine the profit on products.

Higher the value of add, higher will be the charges of product and higher will be the revenue collected.

4 0

3 years ago

Aaron is proud of the traits associated with his countrymen. They are generally perceived as adventurous with a pronounced incli

bonufazy [111]

Answer:e) uncertainty avoidance

Explanation:

Uncertainty Avoidance refers to how people of different cultures respond to changes or the unknown based on their level of tolerance.

People of different cultures respond or reacts differently when unplanned situations occurs.

Uncertainty Avoidance relates to the level to which individuals of a particular community are comfortable with uncertainty and the unknown.

People who belong to cultures with high uncertainty avoidance try to reduce the occurrence of unknown circumstances and to proceed with careful changes step by step by planning and by implementing rules and regulations. They have very low tolerance for change WHILE people who belong to low uncertainty avoidance culture accept and feel comfortable in unplanned situations and try to have as few rules as possible. They have high tolerance for change.

6 0

3 years ago