Assets and Working Capital – Examine each of the major assets and working capital accounts. How does each firm account for these items and does the accounting method differ from the firm’s competitors. Examine each firm’s receivables. Is there any evidence of aggressive revenue recognition or earnings management through manipulation of the allowance for doubtful accounts? Examine the firms’ inventory methods and policies and compare to their competition. If a firm uses a different inventory accounting method (e.g., FIFO versus LIFO) than its competitors, calculate the impact on net earnings. Is there any evidence of excess or obsolete inventory? Examine the firms’ accounts payable. Is each firm paying within a reasonable time? How do they compare? Calculate asset management / efficiency ratios for the past five years for each company and its selected competitors including A/R turnover in days, Inventory turnover in days, A/P turnover in days, and the cash collection cycle in days. Calculate and interpret liquidity ratios including the current ratio, quick ratio and cash ratio. Examine the firms’ fixed assets and related accounting policies including depreciation period and method. Examine the firms’ intangible assets. Look at the footnotes for evidence of impairments.
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.Read more
Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.Read more
Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.Read more
Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.Read more
By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.Read more