Details of this Paper

6. Perform financial ratio analysis (please refer...

Description

Solution


Question

6. Perform financial ratio analysis (please refer to Chapter 19) for two (2) subsequent latest years. For any annual report of a public-listed company, there will be financial reports for the current year and the previous year. Thus, you only need to get the latest annual report of the company. Provide comments on the trend of the ratios. 7. Select a competitor from the same industry with your company and compare their financial ratios for latest financial year only. If you just provide the figures, you will not deserve an A. Provide your comments by comparing the ratios of your company and the competitor. 8. Perform a scenario analysis on three (3) conditions, good, average, and poor. Depending on your company, look at what would be a factor that will have the most significant impact on profitability of the company. For example, for New Zealand Oil & Gas Limited, it will be the price of crude oil. Forecast the net profit of the company for three (3) different levels of crude oil. Then, calculate the prospective earnings per share and prospective price earnings ratio. ?Smartpay Limited which is the company I choose?,Hints? 1. Perform financial ratio analysis (please refer to Chapter 19) for two (2) subsequent latest years. For any annual report of a public-listed company, there will be financial reports for the current year and the previous year. Thus, you only need to get the latest annual report of the company. Provide comments on the trend of the ratios. 2. Select a competitor from the same industry with your company and compare their financial ratios for latest financial year only. If you just provide the figures, you will not deserve an A. Provide your comments by comparing the ratios of your company and the competitor. 3. Perform a scenario analysis on three (3) conditions, good, average, and poor. Depending on your company, look at what would be a factor that will have the most significant impact on profitability of the company. For example, for New Zealand Oil & Gas Limited, it will be the price of crude oil. Forecast the net profit of the company for three (3) different levels of crude oil. Then, calculate the prospective earnings per share and prospective price earnings ratio.

 

Paper#2508 | Written in 18-Jul-2015

Price : $25
SiteLock