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RUNNING HEAD: FINANCE FOR BUSINESS Finance for business 7 Introduction Financial Statements

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Added on  2021-04-24

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RUNNING HEAD: FINANCE FOR BUSINESS Finance for business7 Financial analysis Contents Introduction 2 Financial Ratio Analysis 2 Current ratio 2 Inventory turnover 2 Debt ratio 3 Time Interest Earned 3 Gross Profit margin 4 Equity Multiplier 4 Return on Assets 4 Net Profit Margin 5 Total asset Turnover 5 Return on Equity 5 Conclusion 6 References 7 Introduction Analysis of the financial statements of a company provide a good insight to the company’s strengths and weaknesses. Microsoft corporation Industry Average 2016 1.35 2.35 1.39 2017 1.28 2.48

RUNNING HEAD: FINANCE FOR BUSINESS Finance for business 7 Introduction Financial Statements

   Added on 2021-04-24

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RUNNING HEAD: FINANCE FOR BUSINESSFinancial analysis
RUNNING HEAD: FINANCE FOR BUSINESS Finance for business 7 Introduction Financial Statements_1
Finance for business 1ContentsIntroduction...........................................................................................................................................2Financial Ratio Analysis........................................................................................................................2Current ratio......................................................................................................................................2Inventory turnover.............................................................................................................................2Debt ratio...........................................................................................................................................3Time Interest Earned.........................................................................................................................3Gross Profit margin...........................................................................................................................4Equity Multiplier...............................................................................................................................4Return on Assets................................................................................................................................4Net Profit Margin..............................................................................................................................5Total asset Turnover..........................................................................................................................5Return on Equity................................................................................................................................5Conclusion.............................................................................................................................................6References.............................................................................................................................................7
RUNNING HEAD: FINANCE FOR BUSINESS Finance for business 7 Introduction Financial Statements_2
Finance for business 2Introduction Analysis of the financial statements of a company provide a good insight to the company’s strengths and weaknesses. This report will analyse the SEC 10-K reports of Apple Corporation for the year 2016 and 2017. Apple Inc. is an America based multinational technology company that deals in the designing and development of computer software and hardware. It is a publically traded company listed on NASDAQ with a ticker NASDAQ: APPL. This report contains a financial ratio analysis of the company compare with the industry average and its one of the competitor Microsoft Corporation, followed by a conclusion in the end. Financial Ratio AnalysisCurrent ratio Apple Inc.Microsoft corporationIndustry Average20161.352.351.3920171.282.481.40From the above table, it is observed that Apple’s Current ratio has been reduced in 2017 from1.35 to 1.28 and is also less than the industry average of 1.40 and its competitor’s CR. This isdue to increase in the current liabilities. Although Apple’s ratio is more than 1 but the company is not quite as strong as Microsoft Corporation. This implies that, company is not very much strongly positioned to pay off its debt.Inventory turnover Apple Inc.Microsoft corporationIndustry Average201658.643.1819.49201740.373.8715.26
RUNNING HEAD: FINANCE FOR BUSINESS Finance for business 7 Introduction Financial Statements_3

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