Financial Statement Interpretation

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Financial Statement Interpretation

Comparison of your three companies ( in which you include the following:

Following sectors:
manufacturing, – Apple Inc.
service – Republic Services
retail – Walmart

First: Research & Write: Discuss the differences in the industries – 275 – 300+ words to exceed assignment expectations (one APA formatted reference)

Second: Research & Write: the three companies and their strategies for managing their working capital. Lathan 275 – 300+ words to exceed assignment expectations (one APA formatted reference)

Whole assignment for better understanding: Team,

Agreed… Hema I’m pretty sure Apple works just focus on factory supply, inventory, and development… TY.

Choose one each from the following sectors:

manufacturing, – Apple –
service – Republic Services – Jodi
retail. Walmart
At least one of the three companies should be foreign.
If possible, choose from among the team members’ places of business or similar industries.
Calculate the following:
Current ratio
Quick ratio
Net profit margin
Asset utilization
Financial leverage
Analyze the Return on Equity (ROE) for the last 2 years using the DuPont method.
Develop a 2,100-word comparison of your three companies in which you include the following:
Discuss the differences in the industries
Discuss the different measurement conventions and how this affects presentations.
Contrast IASB basis for accounting (IFRS) and FASB/GAAP accounting.
Compare the three companies and their strategies for managing their working capital.
Discuss the financial ratios and analyses and what they indicate about the companies and their financial forecast.
Incorporate the calculated ratios and analysis into the paper.
Include the financial statements for the 3 companies as an appendix to the paper.
Cite at least 3 scholarly sources.
Format the paper consistent with APA guidelines.
Click the Assignment Files tab to submit your assignment.

a 2,100-word comparison of your three companies in which you include the following:

Introduction 200 – 250 max
Discuss the differences in the industries – 300 – 400 words
Discuss the different measurement conventions and how this affects presentations. 300 – 400 words
Contrast IASB basis for accounting (IFRS) and FASB/GAAP accounting. 300 – 400.
Compare the three companies and their strategies for managing their working capital.300 – 400 words
Discuss the financial ratios and analyses and what they indicate about the companies and their financial forecast. 300 – 400 words
Conclusion 200- 250 max
I’ll get to work, deadline needs to be 1800 on Sunday… all team members are responsible for review/editing prior to final submission
The Company which is manufacturing company of mobile phones and laptops is a very famous company called Apple Inc. It is worldwide known and almost the whole world using its products satisfactorily and happily. It is an American multinational technology company which has its headquarters in Cupertino. California. The software made by it is used in its phone and laptops and is famous for the same. People worldwide have trust on it and the IOS operating system. It is the world largest company information technology and generates large amount of revenue.
The various ratio of the company is as follows for the current year:
Current Ratio- 135%
Quick Ratio- 133%
Net Profit Margin -21%
Asset Utilization -52%
Financial leverage-1.51
Return on Equity – 36%
Return on Equity – 45% (2015)
Different Industries have different ratio according to the working capability of them and the type of work performed by them. The manufacturing, retail and service will have different types of work and the ratio will depend on the assets and liability these possess in the financial statements. The organizations follow different methods of accounting due to which the calculated ratios may differ. The IFRS is principle based accounting and GAAP is rule based accounting. These both methods have different ways of accounting treatment.
The management of working capital will depend on the working capital requirements and the type of the company. The service organization may need less working capital compared to manufacturing organization as the service organization is not related to manufacturing activity and no urgent need of cash or inventory (2016).
References:
(2016). Retrieved 25 December 2016, from https://www.pwc.ch/en/publications/2016/ifrs_and_us_gaap_similarities_and_differences.pdf