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• Review financial statements for two years.

• Make a comparison of the following items and note trends.

i) Revenues;

ii) Cost of good sold

iii) Accounts receivable

iv) Accounts payable

v) Inventory

• discuss and interpret the changes over the two-year period.

• Which company is the best performer and why?

• How is this information useful  from a managerial perspective?

• Describe your reasoning and support your conclusions with numbers you have pulled out for the comparison above.

• Do not forget to comment on interaction of the balance sheet and income statement.

• Keep in mind the differences between contribution margin and absorption income statements.

Always include the name of the organization(s), time period covered and source of information. It is significant to answer the problems as posed. The document must be from 2 to 4 pages and written in a clear and concise manner. Do not forget to include tables as required. Support your discussion or tables with references in APA format. You are encouraged to use Excel or other compatible spreadsheet when computations are involved. You could turn in spreadsheet instead of the Word document. The content must be equivalent to the page length suggested for a word processing document.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M92821

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