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Hi, I need help with essay on Accounting Statement Analysis. Paper must be at least 1500 words. Please, no plagiarized work!units purchased, sales thus scale of economy leading to decrease in operatin

Hi, I need help with essay on Accounting Statement Analysis. Paper must be at least 1500 words. Please, no plagiarized work!

units purchased, sales thus scale of economy leading to decrease in operating expense (Gilbertson & Lehman, 2013).

In the period 11 between 12, the decrease in trend was due to decrease in differed liability. Decrease in the period 12 between 13 was due to utilization of reserves to finance the company’s operations. During the period from 13 between 14, there was increase due to increase in long-term loan by a very big margin.

This negative trend indicates that cost of goods sold is gradually increasing proportionately to sales. This may be due to increase in purchase price or carriage on stack. It can also be because of decrease in selling price(Brigham & Ehrhardt, 2010).

Positive deviation in dividend payout indicates that the firm is paying more to its shareholders inform of dividend. This also indicates that the firm’s growth rate is adversely affected(Brigham & Ehrhardt, 2010).

Net profit margin has a positive trend however, the firms overall profitability has a slightly negative trend because net profit margin and operational incomes positive trend has been fully offset by negative trend in other profitability ratios like gross profit margin (Graham et al., 2012).

Long-term debt paying ability of the firm is negatively affected by decreasing trend in the following ratios. decrease in debt to equity ratio, decrease in debt to tangible assets, and further decrease in cash flow/ total debt ratio. This has been partly offset by increase in time interest earnings fixed charge coverage(Graham et al., 2012).

This trend in Operation Cash Flow per Share indicates that cash flow attributed to each share of common stock has improved. However, the overall cash flow of the firm is declining due to payment of dividend that has increased as indicated by operation cash flow/ cash dividend from 2.51 to 1.51 leading to negative trend in cash flow for the period between 2011 and 2014(Graham et al., 2012).

All of these ratios are in decline.

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