(2) Performance overview
Hyundai E&C ‘s main performance related to sales is consist of plant & electrical works. Second major performance is building & housing. According to this, new orders follow similarly. Plant & Electrical and building & housing new orders account for about 70 % of whole new orders.
(3) ROA
ROA(Return on Assets) = NOPAT / Average assets
① Tuksu E&C
ROA = {
performance and liquidity. In an addition, we will talk about what kind of meaning the meaning of cash flow statement has with the income statement and the balance sheet. In the last, there are various accounting policies in financial statement. Among these, our team is interested in “Inventory valuation”. So, we are going to say the result of what we discussed and thought.
1. SK Energy
accounting policy
I. Main accounting policies
We could find the main accounting policies of KAL by looking into its footnotes. We investigated its accounting policy for revenue recognition, allowance for doubtful debts, inventory valuation, and depreciation method.
1. Revenue Recognition
KAL recognizes the transport-revenue when it completes the performance of a service to passengers.
performance improvement), and TS/FAS (transactions and financial advisory services). Since the 4 divisions have different characteristics, their HR system may also differ. Instead of analyzing 4 divisions’ HR systems respectively, this report shall focus mainly on the assurance LoS, which is considered to be the essential part of the accounting firm (It takes about 35% percent of the total sale
accounting for 10.5 percent of 2009’s net income.
To measure the company’s profitability, we will look at its operating margin and return on equity and compare the values across three similar companies in the industry. This is because net profit margin will also include gain using equity method of accounting (지분법이익) which reflects net profit from Moorim SP’s affiliated company, M
Overall, ratios and analysis of two companies indicate that McDonald’s performed better than Burger King.
In investor’s perspective, McDonald’s showed excellent stock performance in terms of dividends and capital gains. Burger King, in contrast, had a negative stock return. Therefore, it is recommended to invest only in McDonald’s.
In creditor’s perspective, McDonald’s is more
plans of each selected company).
And then, we are going to analysis Financial statement such as Common-size and Comparative analysis. Also we will analysis Firm performance measure, it will include market-based firm performance measures, accounting-based measures, leverage measures, liquidity measures.
At last, we will make our recommendation for investors rely on our analysis.
E. Check the main accounting policies of NHN. Choose one interesting/doubtful accounting policy. Then, comment on the chosen accounting policy. More specifically, is it too aggressive, too conservative or reasonable in terms of the effects on the related accounting information, such as net income, ending balance of account receivable, etc.?
(1) revaluation of fixed assets
[as of 30.9.2009]
asset classes
- Intangible asset ↑ by \47,937million
- Investment property ↑by \107,331 million
6. Other payable(employee compensation) has increased significantly
- recognize the employees paid vacations and future bonus
First half of 2009, Operating performance enhanced
- Sales up by 8.86% Operating Income up by 7.21% yoy
- Due to the changes in revenue recognition
from affiliate 159 48 1 1 2
gross profit 2 161 219 93 53
As you can see above, loss from affiliate in 2009 increased a lot compare to 2008. It means that there is insufficient information to evaluate operating performance just by income statements. Thus investigation of cash flow statements is needed. Further analysis regarding cash flow statement will be dealt in problem D.