the income statement or the balance sheet?
General characteristics of CFS : Complementing the balance sheet and income statement, the Cash Flow Statements allow investors to understand how a company's operations are running, where its money is coming from, and how it is being spent.
Due to the accrual accounting, the income statements released each quarter may not necessarily reflect change
ROA and ROE of HSBC
For the next asset analysis we are considering data from the period 2004-2009. First let´s take a look to the principal ratios ofthe company. ROA ratio for HSBC has decreased since 2007 and this tendency has continued indicating that the bank efficiency to produce profits has diminished. This is mainly due to the rise in operating expenses by 12% that reflected increased
of this industry and Apple inc. theratios such as P/E, ROE, etc. indicate that Apple made remarkable sales operation, compared the industry. For example, ROE measures how much a firm makes profit in a year. Apple’s ROE is around 8% point higher than that ofthe personal computers industry. Since stocks in this industry as well as Apple’s are sensitive to the economy, they seem to reflect tha
the allowance for doubtful accounts could not be found. However, generally allowance for doubtful accounts is the provision for doubtful accounts. It reflects the company’s credit ratings. It is because when contra asset increases net account receivables decrease, resulting the decrease of assets as well. This all in all causes the increase of debt ratio. Unfortunately, current situation regard
3. Ratio analysis
Test of Profitability
1) Return on Equity (ROE)
Return on equity relates income earned to the investment made by owner. This ratioreflects the simple fact that investors expect to earn more money if they invest more money. SK Energy’s ROE in 2008 is 13.1% (I already explained this measure above). As a result, SK Energy earned 13.1 percent on the owner’s investment. By co
ratio (PBR) to judge that stock price is proper. PBR is 5.77 and it is higher than 10 companies’ average (4.011).
⑤ Conclusion ofthe quantity analysis - Apple
Nowadays, We think that Apple is evaluated high. This is because Apple’s new product such as i-Phone 4, 5 and i-pad is greatly anticipated and its future value is reflected in stock price. Therefore, we consider not only ratio a
ratio.
Similar to Current liquidity.
But…
Quick, or Acid Test ratio can grasp liquidity more specifically.
Price Earnings Ratio ? (PER) or Price on Book value Ratio ?
Semiconductor industry is sort of industries which
are sensitive to change in marketplace !
One of most used ratios in company rating.
Because, it reflect companies' realistic values.
Market value of Equity
+
ration pursued by Zara, H&M outsources all of its production and operates a single format which increases operating expenses. Such choice of outsourcing all production is reflected in a relatively low PPE to sales ratioof 15.5% which contributes to higher capital turnover, and thereby, higher ROIC. On the other hand, Inditex which sticks to vertical integration needs its own production plants an
the first year of an assets’ life.
Gradually decreasing charges in subsequent years.
- It is also called ‘accelerated depreciation method’.
More realistic reflection of condition of assets.
This approach coincides ‘Matching Principle’ well.
F.PER & PBR of DSME
Valuation based on price-earnings multiple
Valuation based on theratioof
market price to book value of Equity
ratioof natives
▶New town exit strategy!
Promotion
Committee
Doesn’t exist
Promotion
Committee
Exists
Sunset
law
▶New town exit strategy!
▶Chang-sin & Soong-in New town District
Background of Cancellation
Many Multiplex housing & new buildings
Many small scale sewing factories
Conflicts in the process that promotion
committee are changed and approved
-Lack of i