ACCT 212 Individual Learning Project: Company Financial Analysis

This assignment is a comprehensive analysis of BKF Capital Group Inc.'s financial data, as per the ACCT 212 Individual Learning Project requirements. The solution provides answers to questions regarding the company's general information, market data, and internet presence, including its ticker symbol, website, and online availability of financial reports. The analysis extends to cash flow statements, retained earnings, and shareholder equity, detailing key figures for 2017 and 2018. It also covers significant accounting policies, including valuation methods, depreciation, and leased assets. The document further examines the company's auditors, audit opinions, and the responsibilities of management and the audit committee. The solution provides the student's perspective on the company's future and investment potential based on the financial analysis. Finally, the assignment includes references to relevant financial literature.

Running Head: PRINCIPLES OF ACCOUNTING
PRINCIPLES OF ACCOUNTING
Name of the Student
Name of the University
Author Note

1PRINCIPLES OF ACCOUNTING
Answer 1- BKF Capital Group Inc.
Answer 2- Boca Raton, Florida in United States.
Answer 3- January 1st to December 31st
Answer 4-The operates as merchant bank and provides the capital to the companies in the
ownership form and advisory services on all the matters of the firms such as investment
banking mergers and acquisitions, financial management and general operations.
Answer 5- The high stock price of the company was in the quarter of September 30, 2018,
which were 12.05 USD and 15 USD for December 31, 2017. Moreover, the lowest stock
price of the company was in June 30, 2018 that was 11.3 USD and in March 31, 2017 was
7.33.
Answer 6- Standard Registrar and Transfer Co.
Answer 7- Ridgefield Acquisition Corp, CRF Capital, Inc and Global Luxury Acquisitions
LLC.
Answer 8-New York Stock Exchange.
Answer 9- 9.70 USD.
Answer 10-BKFG.
Answer 11-http://www.bkfcapital.com/
Answer 12- Yes, the annual report of the company is online.
Answer 13- Yes, the financial statements are available on-line on company’s websites.
Answer 14-No, the company is not listed on the Annualreports.com.
Answer 15-2001

2PRINCIPLES OF ACCOUNTING
Answer 16-
Cash Flows 2018 2017
Cash Flow from operating
activities
($355) ($315)
Cash flow from investing
activities
192 ($1,095)
Cash flow from financing
activities
- -
Answer 17- Yes, there is non-cash investing or financing transactions that is unrealized
(gain) loss on marketable securities.
Answer 18-For year 2017 is (207) and for year 2016 is (104).
Answer 19- Proceeds from the sale of marketable securities.
Answer 20- Purchase of marketable securities.
Answer 21- No inflow of cash from current year’s financial activity.
Answer 22- No uses of cash in current year for financial activity.
Answer 23- The Company does not have any cash flow from the financial activity and it will
face major problem because no cash is getting generated from the activities of finance.
Answer 25-There is no retained earnings. Net income for the year 2017 is $148 and for the
year 2016 is ($211). No dividend is being paid for the current year and previous year.
Answer 26- There is no retained earnings of the company.
Answer 27- The company have common stock.

3PRINCIPLES OF ACCOUNTING
Answer 28- Authorized stock is15,000,000 shares. Moreover, Issued is 708,726 and
outstanding stock is 711,816 shares
Answer 29-The Company does not have any treasury stock.
Answer 30- Thepar value of common stock is $1.
Answer 31- The total number of footnote disclosures by the company is 4.
Answer 32- Fifteen significant accounting policies are listed under the summary of
significant accounting policies.
Answer 33-Government debt, financial institutions instruments and corporate debt.
Answer 34- There are no valuation of the inventory of the company.
Answer 35- There is no depreciation of the assets.
Answer 36-No, there is no leased assets of the company.
Answer 37-In case of marketable debt instruments when foreign currency and the interest
rates are not hedged at inception of investment. The record is done of the interest income and
the realized gains or the losses on sale of these particular instruments in the interest and
others (Uechi et al. 2015).
Answer 38- There is no any pending lawsuits against the company.
Answer 39- EPS for 2017 is 0.21 and EPS for 2018 is (0.30)
Answer 40- RBSM LLP
Answer 41- Henderson, Nevada
Answer 42- The auditor gives the qualified opinion. Yes, it is good.

4PRINCIPLES OF ACCOUNTING
Answer 43- The auditor has the responsibility of expressing the opinion on the financial
statements of the company that are based on their audits.
Answer 44- The management has the responsibility of for presenting the financial
information in accordance with the accounting principles fairly.
Answer 45- Income statements, balance sheet and cash flows.
Answer 46- Yes.
Answer 47- The management of the company is responsible for the objectivity and integrity
of financial statements.
Answer 48- The management of the company assures the public that all the information
presented in the financial statements are relevant and fair value and the financial statements
are prepared in accordance with US GAAP (Loughran and McDonald 2016).
Answer 49- The audit committee has the responsibility for the oversight of the process of
financial reporting, selecting the independent auditor and receipt of the internal and external
audit results. Moreover, the board of directors has the responsibility of ensuring the
prosperity of the company by directing the affairs of the company and meeting the
shareholders and stakeholders interest (Robinson et al. 2015).
Answer 52- The calculation of the return on assets shows that the company profitability has
increased from the year 2016-2017 that shows the profitability position of the company has
been increased. Moreover, the return on equity shows that as compare to the year 2016, the
profitability position has been increased from the year 2016 to the year 2017. Further, the
current ratio shows that the liquidity position of the company has drastically increased from
the year 2016 to 2017 that means the company’s ability for paying its short-term liabilities.

5PRINCIPLES OF ACCOUNTING
Lastly, the debt to equity ratio of the company shows that the company is taking 0% debt as
compare to their equity (Bkfcapital.com. 2019).
Answer 53- I am optimistic regarding the future of the company because the company is
growing is growing in terms of its profitability, efficiency and liquidity. Moreover, company
focuses on more retained earnings for doing investments in the development.
Answer 54- Yes, I would like to invest in the company because the company is growing in
terms of its profitability and assets is increasing and the liability is also decreasing.
Answer 55- There is no bond of the company and hence, there is no question of the
investment in bond.

6PRINCIPLES OF ACCOUNTING
Reference
Bkfcapital.com. (2019). [online] Available at: http://www.bkfcapital.com/financials.php
[Accessed 1 Jul. 2019].
Loughran, T. and McDonald, B., 2016. Textual analysis in accounting and finance: A
survey. Journal of Accounting Research, 54(4), pp.1187-1230.
Robinson, T.R., Henry, E., Pirie, W.L. and Broihahn, M.A., 2015. International financial
statement analysis. John Wiley & Sons.
Uechi, L., Akutsu, T., Stanley, H.E., Marcus, A.J. and Kenett, D.Y., 2015. Sector dominance
ratio analysis of financial markets. Physica A: Statistical Mechanics and its
Applications, 421, pp.488-509.