Financial Statement Analysis.

User Generated

ebfrr1

Writing

Description

PLEASE READ THOUROUGHLY AND ASK ME IF YOU HAVE ANY QUESTIONS. I'LL TIP BIG IF I FEEL LIKE YOU DID A GREAT JOB.

Prior to completing work on the paper, review the following:

Write a five- to seven-page comparative financial statement analysis of the three companies listed below, formatted according to APA style as outlined in the Ashford Writing Center. In this analysis, you will discuss the financial health of these companies with the ultimate goal of making a recommendation to other investors. Your paper should consist of the following sections: Company Overview, Comparison of Accounting Methods, Ratio Analysis, Final Recommendation, Conclusions. You will also submit an appendix as a separate document. Additional research may be necessary to provide company background information, or to support your analysis and recommendations. Your paper needs to include a minimum of two scholarly, peer-reviewed, and/or credible resources in addition to the textbook as references.

Download the Form 10-K for each company.

Here is a breakdown of the sections within the body of the assignment (Use paragraph headings to indicate each section):

Company Overview
Provide a brief overview of the three companies (at least two pages). What industry is it in? What are its main products or services? Who are its competitors? Where is the company located?

Ratio Analysis

  • Calculate the current ratio, quick ratio, gross profit percentage, inventory turnover, accounts receivable turnover and asset turnover ratios for all three companies for the current year.
  • Note: Cash includes cash and cash equivalents and short term investments.
  • Explain how the ratio is calculated and discuss and interpret the ratios that you calculated.
  • Discuss potential liquidity issues based on your calculations of the current and quick ratios.
  • Are there any factors that could be erroneously influencing the results of the ratios?
  • Discuss liquidity issues of the three companies.

Comparison of Accounting Methods

In your paper, ascertain from the notes of the financial statements the following:

  • Explain the difference between the allowance method and the direct write off method for accounts receivable. Document the method used for each of the three companies.
  • Explain the difference between the straight-line, double declining balance and the unit of production depreciation methods. Document the method used for each of the three companies.
  • Explain the difference between LIFO and FIFO and document the method used for each of the three companies.
  • Explain the different categories of intangible assets and document the method used for each of the three companies.

Recommendation
Based on your analysis, would you recommend an individual invest in this company? What strengths do you see? What risks do you see? It is perfectly acceptable to state that you would recommend avoiding this company, as long as you provide support for your position.

Conclusion

Include an appendix in a separate document. The appendix must include screenshots of the financial statements and information obtained for the receivables, intangible assets, depreciation, and inventory. You can get help with creating an appendix in APA format by using the Ashford Writing Center’s guide, Tables, Images, & Appendices (Links to an external site.)Links to an external site..

The Financial Statement Analysis Final Paper

For further assistance with the formatting and the title page, refer to APA Formatting for Word 2013 (Links to an external site.)Links to an external site..

User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

Explanation & Answer

Please let me know if there is anything needs to be changed or added. I will be also appreciated that you can let me know if there is any problem or you have not received the work. Please let me know if there is anything needs to be changed or added. I will be also appreciated that you can let me know if there is any problem or you have not received the work Good luck in your study and if you need any further help in your assignments, please let me know Can you please confirm if you have received the work? Once again, thanks for allowing me to help you R MESSAGE TO STUDYPOOL NO OUTLINE IS NEEDED

Report: nance analysis soda drink industry.edited

nance analysis soda drink
industry.edited
by HAL

General metrics
14,791

2,266

161

9 min 3 sec

17 min 25 sec

characters

words

sentences

reading
time

speaking
time

Writing Issues
No issues found

Plagiarism
This text seems 100% original. Grammarly found no matching text on
the Internet or in ProQuest’s databases.

Report was generated on Saturday, Nov 10, 2018, 8:20 PM

Page 1 of 2

Report: nance analysis soda drink industry.edited

Unique Words

24%

Measures vocabulary diversity by calculating the
percentage of words used only once in your
document

unique words

Rare Words

35%

Measures depth of vocabulary by identifying words
that are not among the 5,000 most common English
words.

rare words

Word Length

5.3

Measures average word length

characters per word

Sentence Length

14.1

Measures average sentence length

words per sentence

Report was generated on Saturday, Nov 10, 2018, 8:20 PM

Page 2 of 2


Running head: FINANCIAL STATEMENT ANALYSIS

Financial Statement Analysis
Name
Course
Date

1

FINANCIAL STATEMENT ANALYSIS

2

Financial Statement Analysis
The present report compares the financial performance of three of the leading companies
operating in the soft drink manufacturing industry. The selected companies for such analysis are
PepsiCo Inc., The Coca-Cola company, and the Dr. Pepper Snapple group.
Company overview
PepsiCo Inc. is currently the leading company in the industry as per the market revenue,
followed by The Coca-Cola company (Nestle, 2015). Together with the Dr. Pepper Snapple
group, they produce the best-known soft drinks in the United States. Pepsi and Coca-Cola are
also standard in most countries. Over the years, the three companies have evolved from the soft
drink manufacturing industry, entering other markets such as the food industry. Such entrance
was the result of the merger to companies involved in the manufacturing of snacks and prepared
food such as Lay's, Doritos, or Cheetos. Through this diversification, the PepsiCo, the Coca-Cola
company, and the Dr. Pepper Snapple group tackled the target market of Millenials that enjoyed
having a small snack in between the main meals, accompanied by a refreshing soft soda drink.
Moreover, the three companies have had to reinvent themselves to account for the
changing market trends. In this regard, the three companies have enriched their product mix by
introducing, among others, sugar-free, caffeine-free, and sugar and caffeine-free drinks. The
objective of introducing these drinks was that of targeting the new market niches as they
appeared, thus tackling customers such as those concerned about their weight or of children that
needed caffeine-free beverages.

FINANCIAL STATEMENT ANALYSIS

3

PepsiCo
First established at the beginning of the nin...


Anonymous
Great! 10/10 would recommend using Studypool to help you study.

Studypool
4.7
Indeed
4.5
Sitejabber
4.4

Related Tags