the company is target. please find the financial statement analysis computations (income statement, balance sheet, ratios)
please help & thankyou.
This is a self learning exercise / project Introduction What is financial statement analysis Financial statement analysis reviews financial information found on financial statements to make informed decisions about the business. The income statement, statement of retained earnings, balance sheet, and statement of cash flows, among other financial information, can be analyzed. The information obtained from this analysis can benefit decision-making for internal and external stakeholders and can give a company valuable information on overall performance and specific areas for improvement. The analysis can help them with budgeting, deciding where to cut costs, how to increase revenues, and future capital investments opportunities. When considering the outcomes from analysis, it is important for a company to understand that data produced needs to be compared to others within industry and close competitors. The company should also consider their past experience and how it corresponds to current and future performance expectations. Three common analysis tools are used for decision-making; horizontal analysis, vertical analysis, and financial ratios. Horizontal analysis PercentChange=(BaseYearAmountDollarChange)100 Vertical analysis Common-SizePercentage=(BaseAmountComparisionAmount)100 Base amount: - For Assets- total assets - For liabilities - total liabilities plus stockholders Equity - For income statement - Net sales Financial ratios \begin{tabular}{|l|l|l|l|} \hline 7 & Profit Margin & Net Income / Net Sales & Profitmarginrepresentshowmuchofsalesrevenuehastranslatedintoincome.Thisratioshowshowmuchofeach$1ofsalesisreturnedasprofit. \\ \hline 8 & ReturnonTotalAssets & Net Income / Average Total Assets & Thereturnontotalassetsmeasuresthecompanysabilitytouseitsassetssuccessfullytogenerateaprofit.Thehigherthereturn(ratiooutcome),themoreprofitiscreatedfromassetuse. \\ \hline 9 & Return on Equity & NetIncome/AverageStockholdersEquity & Returnonequitymeasuresthecompanysabilitytouseitsinvestedcapitaltogenerateincome. \\ \hline 10 & Free Cash Flows & NetcashfromOperatingActivities-CapitalExpenditure-CashDividends & Freecashflowdescribesthecashremainingfromoperationsafteradjustmentforcapitalexpendituresanddividends.ItisanadditionalinsightintoaCompanysabilitytogenerateitscashneedsonitsown \\ \hline \end{tabular} "Average for any balance is computed as (beginning + ending balance) / 2 Textbook Link: A Financial Statement Analysis - Principles of Accounting, Volume 1: Financial Accounting OpenStax How to find a Company's Financial Statements (10-K) 1. Go to SEC. gov /EDGAR / Company Fillings 2. Enter the name of the Company or the ticker symbol in the search box Company and Person Lookup ? 3. Click on "View Filings" Latest Filings (excluding insider transactions) - February 22, 2023 - PX14A6G: Notice of exempt solicitation submitted by nonmanagement - February 22, 2023 - PX14A6G: Notice of exempt solicitation submitted by nonmanagement - February 22, 2023 - PX14A6G: Notice of exempt solicitation submitted by nonmanagement - February 14, 2023 - PX14A6G: Notice of exempt solicitation submitted by nonmanagement - February 14, 2023 - SC 13G/A: Statement of acquisition of beneficial ownership by individuals - amendment 4. Enter "10-K" in the search box and a list of all 10Ks will appear (most recent being all the way on the top of the list) Filings 5. Click on the form description to be taken to the 10K 6. Once in the 10-K, scroll down (a few pages) to get to the Table of Contents and click on Item 8 to be taken to the financial statements 7. In addition to Item 8, you will find a lot of insightful analysis and information in Item 7 Management Discussion and Analysis. I would strongly encourage you to read it. How to find a Company's Financial Statements (10K) 1. Go to SEC.gov | EDGAR | Company Filings NAME OF THE COMPANY NAME OF THE FINANCIAL STATEMENT CURRENCY AND DENOMINATION NAME OF THE COMPANY NAME OF THE FINANCIAL STATEMENT CURRENCY AND DENOMINATION NAME OF THE COMPANY FINANCIAL RATIOS This is a self learning exercise / project Introduction What is financial statement analysis Financial statement analysis reviews financial information found on financial statements to make informed decisions about the business. The income statement, statement of retained earnings, balance sheet, and statement of cash flows, among other financial information, can be analyzed. The information obtained from this analysis can benefit decision-making for internal and external stakeholders and can give a company valuable information on overall performance and specific areas for improvement. The analysis can help them with budgeting, deciding where to cut costs, how to increase revenues, and future capital investments opportunities. When considering the outcomes from analysis, it is important for a company to understand that data produced needs to be compared to others within industry and close competitors. The company should also consider their past experience and how it corresponds to current and future performance expectations. Three common analysis tools are used for decision-making; horizontal analysis, vertical analysis, and financial ratios. Horizontal analysis PercentChange=(BaseYearAmountDollarChange)100 Vertical analysis Common-SizePercentage=(BaseAmountComparisionAmount)100 Base amount: - For Assets- total assets - For liabilities - total liabilities plus stockholders Equity - For income statement - Net sales Financial ratios \begin{tabular}{|l|l|l|l|} \hline 7 & Profit Margin & Net Income / Net Sales & Profitmarginrepresentshowmuchofsalesrevenuehastranslatedintoincome.Thisratioshowshowmuchofeach$1ofsalesisreturnedasprofit. \\ \hline 8 & ReturnonTotalAssets & Net Income / Average Total Assets & Thereturnontotalassetsmeasuresthecompanysabilitytouseitsassetssuccessfullytogenerateaprofit.Thehigherthereturn(ratiooutcome),themoreprofitiscreatedfromassetuse. \\ \hline 9 & Return on Equity & NetIncome/AverageStockholdersEquity & Returnonequitymeasuresthecompanysabilitytouseitsinvestedcapitaltogenerateincome. \\ \hline 10 & Free Cash Flows & NetcashfromOperatingActivities-CapitalExpenditure-CashDividends & Freecashflowdescribesthecashremainingfromoperationsafteradjustmentforcapitalexpendituresanddividends.ItisanadditionalinsightintoaCompanysabilitytogenerateitscashneedsonitsown \\ \hline \end{tabular} "Average for any balance is computed as (beginning + ending balance) / 2 Textbook Link: A Financial Statement Analysis - Principles of Accounting, Volume 1: Financial Accounting OpenStax How to find a Company's Financial Statements (10-K) 1. Go to SEC. gov /EDGAR / Company Fillings 2. Enter the name of the Company or the ticker symbol in the search box Company and Person Lookup ? 3. Click on "View Filings" Latest Filings (excluding insider transactions) - February 22, 2023 - PX14A6G: Notice of exempt solicitation submitted by nonmanagement - February 22, 2023 - PX14A6G: Notice of exempt solicitation submitted by nonmanagement - February 22, 2023 - PX14A6G: Notice of exempt solicitation submitted by nonmanagement - February 14, 2023 - PX14A6G: Notice of exempt solicitation submitted by nonmanagement - February 14, 2023 - SC 13G/A: Statement of acquisition of beneficial ownership by individuals - amendment 4. Enter "10-K" in the search box and a list of all 10Ks will appear (most recent being all the way on the top of the list) Filings 5. Click on the form description to be taken to the 10K 6. Once in the 10-K, scroll down (a few pages) to get to the Table of Contents and click on Item 8 to be taken to the financial statements 7. In addition to Item 8, you will find a lot of insightful analysis and information in Item 7 Management Discussion and Analysis. I would strongly encourage you to read it. How to find a Company's Financial Statements (10K) 1. Go to SEC.gov | EDGAR | Company Filings NAME OF THE COMPANY NAME OF THE FINANCIAL STATEMENT CURRENCY AND DENOMINATION NAME OF THE COMPANY NAME OF THE FINANCIAL STATEMENT CURRENCY AND DENOMINATION NAME OF THE COMPANY FINANCIAL RATIOS
