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Undertake your own research to obtain an organisation's LATEST THREE- YEAR annual reports. You can use one from an organisation with which you are familiar
Undertake your own research to obtain an organisation's LATEST THREE- YEAR annual reports. You can use one from an organisation with which you are familiar or one which is freely available on the internet (company's website) or from ASIC or ASX. You are the Financial Planning and Analysis manager of the company you are choosing. In order to invest a project, the company is planning to apply for a loan from the bank. You were assigned by the CEO the task of advising the Board of Directors about the financial forecasts and the company's ability to meet the long-term obligations. The proposed loan details are shown as below: 1. You are required to undertake your own research from the company's website, and read all the relevant information from the annual reports to understand and identify the organisational policy and procedures in regards to (not limited to) sales, inventory management, collection policy, credit, purchasing and payment policy and cost structures. 2. Calculate the financial ratios for the actual three years by using the following template. You can calculate the relevant ratios based on a year-end balance instead of the average beginning and ending year balance. 3. Briefly comment the profitability, liquidity and solvency of the company based on the financial ratios you calculated in the Part 2. Undertake your own research to obtain an organisation's LATEST THREE- YEAR annual reports. You can use one from an organisation with which you are familiar or one which is freely available on the internet (company's website) or from ASIC or ASX. You are the Financial Planning and Analysis manager of the company you are choosing. In order to invest a project, the company is planning to apply for a loan from the bank. You were assigned by the CEO the task of advising the Board of Directors about the financial forecasts and the company's ability to meet the long-term obligations. The proposed loan details are shown as below: 1. You are required to undertake your own research from the company's website, and read all the relevant information from the annual reports to understand and identify the organisational policy and procedures in regards to (not limited to) sales, inventory management, collection policy, credit, purchasing and payment policy and cost structures. 2. Calculate the financial ratios for the actual three years by using the following template. You can calculate the relevant ratios based on a year-end balance instead of the average beginning and ending year balance. 3. Briefly comment the profitability, liquidity and solvency of the company based on the financial ratios you calculated in the Part 2
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