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company reports: Coca- Cola Company, . Review a company's Balance Sheet & Income Statement, the questions below. 1) Let's start simple. What is the

 

company reports: Coca- Cola Company, . Review a company's Balance Sheet & Income Statement, the questions below.

  1) Let's start simple. What is the company's Net Worth, also known as Shareholder's Equity? What exactly does this mean? 

2) Calculate the Company's Quick Ratio and interpret what that means.

3) What can the company's quick ratio tell you about the company's financial health (be specific to your company and use examples/numbers)?

4) Yahoo Finance/Market Watch/CNN Market gives the available Balance Sheet for companies for several years (current and usually 2-3 past years). Is the company you chose trending up or down in regards to financial health (only considering the balance sheet)? Be sure to give examples/support for why.

5) If all you had as an investor was the balance sheet to determine the financial health of the specific company you are analyzing, would you invest? Why or why not?

6)What is the company's Gross Profit? What does this tell you exactly and how is it different from "Profit" and "Net Income"?

7) Every company reports their SGA (sometimes that is all they report). Research and cite examples of SGA expenses and explain why they are not included in the COGS/Cost of Revenue.

8) SGA is often broken down into "S" (Sales and Marketing) and "G & A" (general and administrative). Discuss some examples of "G&A" you did not cite in question 3 and discuss these expenses (are they fixed or variable, what are the exactly, etc)?

9) Analyze the Income Statement year over year and discuss any trends in profit/loss, expenses, COGS, etc. Then discuss whether or not you would invest in this company & why.

 

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1 The companys Net Worth also known as Shareholders Equity represents the total value of the companys assets minus its liabilities It essentially indicates the portion of the companys assets that belo... blur-text-image

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