Task - Analysis of financial accounts

You must choose a UK listed PLC from the FTSE 100 List. You must also find a suitable competitor company (preferably of similar size) to enable valid comparisons of performance to be made.

Required:

• A brief introduction to the company, the nature of its business and a brief overview of its financial performance and position over the past five years. [20%]
• Compare the financial performance of your company and a suitable competitor using a minimum of 10 ratios over the last 2 financial years. Your analysis should cover profitability, liquidity, efficiency and capital structure ratios. [35%]

• Comment on the business from an investors point of view in terms of movements in share price and investor ratios and compare your business to the Stock Market performance over the past year. [25%]
• Review any changes in accounting policies impacting on the performance of your chosen company and the comparative company. [10%]
• Consider the limitations of your analysis and any reservations that you may have about the analysis that you have provided. [10%]