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Please kindly find my question as attached.

Costco Finacial Analysis (1997-2002)-four pages double space

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Costco Financial Statement Analysis Goal - Write a report discussing Costco's operational performance over 1997-2002. Your report can be up to four pages double spaced. - Please conclude your report with an executive summary no more than 150 words Overview of the Assignment This case is about a financial statement and a ratio analysis case involving a high-growth retail company. the study period for Costco case is the five-year period in the case from 1997 to 2002. The case begins with an individual shareholder in Costco Wholesale Corp who is trying to evaluate the operational performance of the business she has invested in over the last five years. She seeks to answer two questions: 1) Has Costco become more or less financially efficient over this time period? 2) How has it financed its growth? Your report should help answer her two questions. o You can organize your analysis of the issues into three parts to address the above two questions: a. Common-size financial statements (for question 1) b. Benchmarking ratios particular to retail companies (for question 1). c. Sustainable growth analysis (for question 2) o Focus on the financial analysis, rather than the calculation of ratios. What does it reveal? o Think about the business behind the numbers in Costco's performance by discussing the company's strategy and other such qualitative information. Tips for Costco: 1. An executive summary that is written in such a way that clear about their observations and recommendations to the investor. 2. Discuss industry economic attributes. 3. Conduct benmark comparisons (note: picking the right benmark will help). 4. What is Costco's strategy at the time? 5. Conduct the first level of ROA and ROE (trend analysis). Conduct the second level of analysis by using dupont system to break down ROA/ROE into profit margin, asset turnover, and/or financial leverage. Conduct the third level analysis to understand the specific source of the observed performance trend. See ppt slide 35 for the outline of the three-level performance analysis. 6. Discuss sustainable growth (see slides 34). 7. Given Costco's strategy, provide your readings of its performance during the period presented in the case