Xacc 280 Financial Statement Analysis

Feedback is at the end of the paper. The three of financial statement outline ar horizontal epitome, vertical abbreviation, and ratio analysis. The function of all three analyses is to evaluate the meaning of financial statements entropy. Horizontal analysis function is to evaluate and compare data given by the financial statement for at least 2 years with in its own company. Vertical analysis expresses the amounts of the financial statements as a percentage from the amounts given on the financial statements.Vertical analysis also makes it so that companies can compare how they are doing with competing companies. Ratio analysis is used to evaluate liquidity, profitability, and solvency. PepsiCo. Calculations Ratio 2005 received Ratio 1. 111 10,454/9,406=1. 1114 2004 circulating(prenominal) Ratio 1. 281 8,639/6,752=1. 2794 Vertical Analysis 2005 ongoing assets 10,454 / heart assets 31,727=0. 3294 or 32. 9% 2004 former(a)st assets 8,639 / total assets 27,987=. 3086 or 30. 7% Horizontal Analysis Assets increased in 2005 by 13% tally assets 2005 31,727-total assets 2004 27,987=3740/ 27,987=. 33 or 13% Liabilities increased by 21% integral liability 2005 17,476-total liability 2004 14,464=3012/14,464=. 208 or 21% Coca-Cola Calculations Ratios Current Ratio for 2005 1. 041 10,250/9,836=1. 042 Current Ratio for 2004 1. 101 12,281/11,133=1. 103 Vertical Analysis 2005 Current Assets 10,250/total assets 29,427=. 348 or 35% 2004 current assets 12,281/total assets 31,441=. 390 or 39% Horizontal Analysis Current assets lessen by 17% Current assets in 2005 10,250-current assets 2004 12,281=-2031/current assets 2004 12,281=-. 65 or -17% Current liability decreased by 12% in 2005 Current liability in 2005 9,836- current liability in 2004 11,133=-1297/current liability in 2004 11,133=-. 116 or 12% Good Effort on the CheckPoint See more feedback below. CheckPoint 25/points Points pull in 21. 5/25 Write in 100 to 200 spoken communication an explanation of the t hree tools of financial statement analysis and the function of each. 5/5 points three tools of financial statement analysis 3 The preeminence is appropriate to the content and assignment. Sentences are complete, clear, and concise.Sentences are well constructed, with consistently strong, vary sentences. Sentence transitions are present and maintain the flow of thought. Rules of grammar, usage, and punctuation are followed. Spelling is correct. 1 The paper is 100 to 200 words in length. 1 Feedback Concept seems to be learned. Additional Comments Calculate the following for PepsiCo, Inc. and depict your work and Calculate the following for Coca-Cola and show your work 19/20 points Ratio analysis machine Current ratio for 2005 Pepsico 1 Coca-Cola 1Tool Current ratio for 2004 Pepsico 1 Coca-Cola 1 Vertical analysis Tool Current assets ? total assets in 2005 Pepsico 2 Coca-Cola 2 Tool Current assets ? total assets in 2004 Pepsico $8,639 ? $27,987 = 30. 9% 2 Coca-Cola $12,281 ? $31,441 = 39. 1% 2 Horizontal analysis Tool Percent change in total assets (2005 ? 2004) Pepsico 2 Tool Percent change in current assets (2005 ? 2004) ($10250-12281) ? $12281 = -16. 5 % Coca-Cola ($29,427 $31,441) ? $31,441 = -6. % 1. 5 Tool Percent change in total liabilities (2005 ? 2004) Pepsico 2 Tool Percent change in current liabilities (2005 ? 2004) ($9836 $11133) ? $11133 = -11. 65% Coca-Cola ($13,072 $15,506) ? $15,506 = -16% 1. 5 Feedback All figures looked good but you did the horizontal analysis on the Pepsico for the intact assest and did the current assets for Coca-Cola. You need to compare the same numbers in the companies to be able to complete a correct analysis. Additional Comments Late unity Day 25 *. 0 -2. 5 Total 25/Points Points bring in 21. 5/25 21. 5 Overall Comments Late assignments receive a 10% deduction for each day they are late. Assignments are late if they are not posted by midnight Arizona tim e (MST) of the day they are due. Assignments that are more than 4 days late pull up stakes not be accepted unless we have negotiated and mutually agreed upon an selection submission date in advance. Unless an Incomplete grade has been granted, student assignments submitted subsequently the last day of class will not be accepted.