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Managerial Finance - Understanding Financial Statements and Cash Flow Statement

This is a group written assignment for the Managerial Finance course. It consists of 6 questions that assess work covered in Weeks 1 to 4. The assignment requires a combination of calculation-based and theory questions. The presentation must be in 1.5 spacing, with specific font sizes and styles. Proper referencing using the APA Reference system is required, along with supporting examples and references to contemporary issues.

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Added on  2023-05-28

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This article discusses the analysis of financial statements and cash flow statements of Conrad and Company Limited and Pindara Ltd. It also highlights the major activities of the management team of Google Limited. The article provides insights into profitability, liquidity, efficiency, and solvency analysis of the companies. It also discusses the limitations of ratio analysis and the importance of cash flow statements.

Managerial Finance - Understanding Financial Statements and Cash Flow Statement

This is a group written assignment for the Managerial Finance course. It consists of 6 questions that assess work covered in Weeks 1 to 4. The assignment requires a combination of calculation-based and theory questions. The presentation must be in 1.5 spacing, with specific font sizes and styles. Proper referencing using the APA Reference system is required, along with supporting examples and references to contemporary issues.

   Added on 2023-05-28

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Running head: MANAGERIAL FINANCE
Managerial Finance
Name of the Student:
Name of the University:
Author’s Note:
Course ID:
Managerial Finance - Understanding Financial Statements and Cash Flow Statement_1
1MANAGERIAL FINANCE
Table of Contents
Question 1: Understanding financial statements.........................................................2
Requirement 1:........................................................................................................2
Requirement 2:........................................................................................................4
Question 2: Understanding financial statements.........................................................5
Requirement 1:........................................................................................................5
Requirement 2:........................................................................................................6
Requirement 3:........................................................................................................6
Question 3: Understanding cash flow statement:........................................................6
Requirement 1:........................................................................................................6
Requirement 2:........................................................................................................7
References:.................................................................................................................8
Managerial Finance - Understanding Financial Statements and Cash Flow Statement_2
2MANAGERIAL FINANCE
Question 1: Understanding financial statements
Requirement 1:
Profitability analysis:
For analysing the profitability position of Conrad and Company Limited, the
two profitability ratios considered include net margin and return on capital employed.
In case of net margin, the ratio is found to be 8.65% of the total revenue.
However, the average net margin of the companies operating in this industry is
obtained as 6.71% (Csimarket.com, 2018). This implies that the organisation has
been performing better than its other competitors in the industry. On the other hand,
ROCE is calculated as 25.30%, which implies that the organisation has managed to
earn sufficient returns from the amounts invested in the business.
Liquidity analysis:
In order to assess the liquidity position of the concerned organisation, the
ratios considered include current ratio and quick ratio.
Managerial Finance - Understanding Financial Statements and Cash Flow Statement_3

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