Case Study Part 1 (Financial)

1.Prepare a horizontal financial analysis comparing all years (FY2013-FY2014-FY2015) from the financial statements: Income Statement (Page 31) and Balance Sheet (Page 33). Provide commentary highlighting major variances on both analyses.

2.Prepare a vertical financial analysis of the financial statements (Income Statement only) provided for FY2014 and FY2015. Comment on any change that you believe is significant and warrant discussion.

3.Prepare a one paragraph review of the Statement of Cash Flows (Page 34). Comment on any significant changes in the cash flow of the company and how you view their cash position.

4.Calculate the financial ratios listed below using the formulas in Chapter 3 of your textbook using the latest data (FY2015) from the financial statements.

•Return on Equity

•Receivable Turnover

•Average Collection Period

•Current Ratio

•Debt to Total Assets

5.Prepare a one paragraph discussion on the state of this business and how you feel their outlook for the future is.