ACCT 2331 Internet Financial Statement Analysis Ratio Project Why Financial Stat

Question

ACCT 2331 Internet Financial Statement Analysis Ratio Project Why Financial Statement Analysis? Financial statements are the primary information that firms publish abbut themselves, and investors are the primary users of financial statements. Firms seek capital from investors and prepare financial statements to help investors decide whether to invest Investors expect the firm to add value to their investment-to return more than was invested- and read financial statements to evaluate the firm's ability to do so. Financial statements are also used for other purposes. Governments use them in social and economic policy-making. Regulators such as the antitrust authorities, financial market regulators, and bank inspectors use them to control business activity, Employees use them in wage negotiations. Senior managers use them to evaluate subordinates. Courts and the expert witnesses who testify in court, use financial statements to assess damages in litigation. Each type of user needs to understand financial statements. Each needs to know the statements' deficiencies, what they reveal, and what they don't reveal. Financial statement analysis is the method by which users extract information to answer their questions about the firm". Stephen H. Penman This project covers the principles of financial statement analysis. The goal of this assignment is for you to experience finding out relevant accounting and other information about a corporation as if you were an investor. You will find out that it is relatively easy to look up information about any publicly traded company on linc.

Explanation / Answer

The earnings per share (EPS) for Amaxon for the most recent year shown on this page are 3.96 The current price of Amazon's common stock is 1126.69 (as on November 15, 7.59 pm EST What industry is Amazon in American is an electronic commerce and cloud computing company based in Seattle, Washington .It is the internet retailer industry. 2. How many full time employees work for Amazon 341,400 3. Who is Chief Executive officer Andrew R Jassey - Chief Executive Officer of Amazon Web Services Jeffrey A. Wilke - Chief Executive Officer - Worldwide Consumer 4. Who is Chief Financial Officer Brian T. Olsavsky 1. Quarterly income statement, what was the total revenue for the quarter ending on Sept 30, 2017 43,744 2. From the quarterly income statement , total revenue for the previous quarter ending on June 30, 2017 37,955 3. % of growth in revenue 15.25 43744-37955 5789 5789/37955 15.25% 4. Net income for the quarter ending on Sep 30, 2017 256 5.Gross profit for the quarter ending on Sep 30, 2017 16,195 6. What was the cost of Revenues (Cost of goods sold) for the quarter ending on Sep 30, 2017 27,549 7. What was the value of inventories as of Sep 30, 2017 13,711 8. Whatwas the value of inventories as of Jun 30, 2017 11,510 9. Total asset value as of Sep 30, 2017 115,267 10. Total liab ilities as of Sep 30, 2017 90,609 11. What was the total current assets value as of Sep 30, 2017 48,578 12. Total current liabilities value as of Sep 30, 2017 47,072 13. The largest current asset category is Cash and Short Term Investments 24,310 14. The largest current liability category is Accounts payable 26,075 15. The largest non-current asset category is Goodwill 13,271 16. The largest non-current liability category is Long term debt 24,710 Financial ratios Inventory turnover (Cost of Goods sold/Average Inventory) 27549/((11510+13711)/2)= 2.18 Gross Profit % (Gross profit/Revenes)*100 16195/43744*100= 37.02% Debt Ratio (Total Liabilities/Total Asset) 96909/115267= 0.84 Current Ratio (Current /asset/Current Liabilities) 48578/47072= 1.03 E-bay Million usd Total Quarter Revenues (Sep 30, 2017) 2409 Total Quarter Revenues (Jun 30, 2017) 2328 Quarter Gross profit (Sep 30, 2017) 1853 Information for Sep 30, 2017 Total Assets 23847 Total Liabilities 23847 Current Assets 7858 Current Liabilities 3190 Revenue Growth (2409-2328)/2328 3.48% Gross profit margin (1853-1767)/1767 4.87% Debt(total liabilities) to Total Assets(14660/7858) 1.87 Current Ratio (7858/3190) 2.46 Revenues Period Amazon Revenues Ebay Revenues Dec 31st, 2013 74452 8257 Dec 31st, 2014 88988 8790 Dec 31st, 2015 107006 8592 Dec 31st, 2016 135897 8979 Period Amazon Op income Ebay Op income Dec 31st, 2013 745 2454 Dec 31st, 2014 178 2476 Dec 31st, 2015 2233 2197 Dec 31st, 2016 4186 2325 Period Amazon Net income Ebay Net income Dec 31st, 2013 274 2856 Dec 31st, 2014 -241 46 Dec 31st, 2015 596 1725 Dec 31st, 2016 2371 7266

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.