Fundamental of Value Creation in Business

Running head: FUNDAMENTAL OF VALUE CREATION IN BUSINESS
Fundamental of value creation in business
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FUNDAMENTAL OF VALUE CREATION IN BUSINESS
Executive Summary
The study sheds light on the liquid position for Woodside petroleum limited and Santos
Limited. The study has provided idea on the liquidity through the liquidity ratio analysis. This
has introduced the liquidity analysis into the financing process. Further, the study has
provided idea on the liquidity analysis through comparing both the company. The
performance has been analysed and the investment opportunity for both of the companies
have been evaluated through Current ratio, Quick ratio and DSO ratio (Days sales
outstanding) ratio calculation.

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FUNDAMENTAL OF VALUE CREATION IN BUSINESS
Table of Contents
Introduction................................................................................................................................3
Liquidity.....................................................................................................................................3
Liquidity ratios.......................................................................................................................3
Company’s Ratio analysis..........................................................................................................5
Current ratio analysis.............................................................................................................5
Quick ratio..............................................................................................................................5
Days sales outstanding (DSO) ratio.......................................................................................6
Conclusion..................................................................................................................................6
References..................................................................................................................................7
Appendices.................................................................................................................................9