Accounting For Business Decisions Financial Analysis of Farm Pride Food Limited

Running head: ACCOUNTING FOR BUSINESS DECISIONSFARM PRIDE FOODS LIMITEDAccounting For Business DecisionsStudent Name:Course work:University:

ACCOUNTING FOR BUSINESS DECISIONS1Table of ContentsExecutive Summary.........................................................................................................................2Introduction......................................................................................................................................3A.Statement of financial position.................................................................................................3B.Stockholders’ Equity................................................................................................................6C.Statement of profit & loss........................................................................................................7D.Statement of Cash flow............................................................................................................8Conclusion.....................................................................................................................................10Recommendations..........................................................................................................................11References......................................................................................................................................13

ACCOUNTING FOR BUSINESS DECISIONS2Executive SummaryThe financial analysis of Farm pride food limitedis discussed in the paper. The statement of financial position reflects that the total current assets are increased in the year 2015, and non-current assets of the company are decreased. The total current liabilities are decreased in the year2015, and non-current liabilities are also decreased in the year 2015 from the previous year 2014.The stockholder's equity of the company is increased by 20.94% which is the good financial health indicator. The statement of profit & loss shows the total revenue is decreased in the year 2015 from the previous year 2014, and other factors show the positive sign of financial position of the company. The earning per share of the company is also increase in the year 2015. The statement of cash flow shows that the cash generated from operating activities is increased by 93.8% in 2015. The cash outflow from financing activities is increased, and the cash outflow from investing activities is decreased in the year 2015. The net cash generated is increased in the year 2015 from the previous year 2014.

ACCOUNTING FOR BUSINESS DECISIONS3Introduction In this present paper, we will discuss the financial analysis of Farm pride food limited. The financial analysis helps to take business decision making. The paper analyzes the statement of financial position, stockholders equity, statement of profit & loss and statement of cash flow. On the basis of the analysis, the recommendations have been drawn, and the conclusion is given after the analysis. The farm pride foods limited is the Australian farm company which provides the eggs to the Australians since seventy-five years. It is the listed company which processes, grades, supplies and markets shell eggs and it also processes the egg products within the country. The company was started as the egg and egg pulp marketing board of victoria then afterward the company becomes the Victoria Egg marketing board. The company became privatized in 1993. The company has more than two hundred employees with six farms within the country. The companysupplies eight billion eggs within a week across the country. The varieties of eggs provided by the company include laid cage eggs, free range egg, and barn laid eggs with various varieties. The management and directors of the company are committed towards the high performance and interest of the shareholders. The written consent is required from ASX for using the shareholder'sinformation of the company for the commercial purpose.A.Statement of financial position1.Total current assets

Running head: ACCOUNTING FOR BUSINESS DECISIONS
Accounting for Business Decisions
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ACCOUNTING FOR BUSINESS DECISIONS
Executive Summary
The report shows analysis of the financial statements of Fortescue Metals Group Ltd for a period
of two years. The report include computation for comparative and common size statement of
both the income statement and balance sheet of the business. The report also includes ratio
computation and analysis on the basis of which financial performance of the business is being
considered, A comparative study of the business financial results are also undertaken with the
close competitors of the business which are Rio Tinto ltd and BHP Billiton ltd. The report in the
final parts shows the corporate governance practices which are employed by the management of
Fortescue Metals Group Ltd and also identifies the issues which if corrected can bring about
more praise to corporate governance practices of the business.

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ACCOUNTING FOR BUSINESS DECISIONS
Table of Contents
Introduction......................................................................................................................................3
Financial Statement Analysis..........................................................................................................3
Comparison with a Competitor......................................................................................................10
Ratio Analysis................................................................................................................................11
Corporate Governance Report.......................................................................................................13
Conclusion.................................................................................................................................14
Reference.......................................................................................................................................16

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ACCOUNTING FOR BUSINESS DECISIONS
Introduction
The main purpose of the assessment is to critically analyze the financial statements of
Fortescue Metals Group LTD in order to understand the financial performance of the business in
last year years. In order to obtain relevant financial information, the annual reports of the
company are considered for the period of two years which is 2018 and 2017.
Fortescue Metals Group Ltd is an Australian based iron ore company which is engaged in
the business of mining and extraction of minerals from the surface of the earth. The company at
one point of time was regarded as one of the largest producers of iron ore in the world
(Fmgl.com.au. 2018). The company has its major operations and also its headquarters in western
Australia.
The assessment shows analysis of key financial ratios which are related to liquidity and
profitability aspect of the business. The assessment shows computation of these ratios and
analysis for the same in order to identify the growth or decline of the business. The assessment
also aims to identify one competitor of the business and analyze how the business is performing
in terms of the competitor. In addition to this, an analysis of the corporate governance of the
business is also included in the assessment.
Financial Statement Analysis
The annual reports of the business which is presented for the year 2018 shows that the
business has presented the financial statement of the company as per the conceptual framework
which is usually followed by most of the companies. In order to effectively demonstrate the
changes which have taken place in the financial statement over the two years period,
comparative and common size statements are prepared showing changes in various items which