This is an individual project where each student will choose an organization with publicly-available...

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This is an individual project where each student will choose an organization with publicly-available financial statements and will analyze those statements

You should perform both Horizontal and Vertical analysis on your chosen F/S as described in Chapter 14 of our textbook. With 3 years of F/S data your analysis of this can be a bit richer but 2 years is also acceptable.Sample Horizontal and Vertical analysis will be provided.
You should include calculations of all key ratios you choose to cover. Each ratio should state the formula you are using and should be calculated using cells in Excel (so that these can be easily checked). Only ratios described in Chapter 14 of our textbook should be analyzed. (seen in file)

comm-211-611-financial-analysis-project-parameters-wngmwt3l.docx sample-trend-analysis-common-size-analysis-g111voyp.xlsx ratios-for-211-eroxdgvs.jpg

Kushal · Accepted Answer

Company chosen – Nestle 
I have chosen this company to ensure that for the manufacturing firm all the ratios are easily calculated and the trend and horizontal analysis are much more reliable due to the presence of all the line items.
Horizontal analysis – 
As we can see in the excel file, even though the top line of the firm more or less remains flat, the bottom line has shown a significant increase in the last two years. This is majorly due to the decrease in the operating expenses, driven by the cost efficiencies measures that the company took during the last few years.
As far as the balance sheet is concerned, the overall assets and the stockholder’s equity have decreased and the liabilities have increased over the last two years.
Vertical Analysis – 
In the income statement,

This is an individual project where each student will choose an organization with publicly-available financial statements and will analyze those statements You should perform both Horizontal and...

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