Statement Analysis Project

financial Statement digest Project FI504 Accounting and pay: managerial Use Date: 06/12/2011 Table of confine Executive Summary..3 apprize Background of HP...4 environmental Scanning SWOT abridgment...5 Major Competitor IBM..7 monetary dimension.9 Liquidity Ratio......9 Activity Ratio.9 Solvency Ratio......10 Profitability...11 Overall Analysis and recommendation.....12 Recomendation.....13 References.14 I. Executive Summary: This report stands from the point of go through of Hewlett-Packard (HP), and discusses about its line of work condition. In station to put up a clear picture of HPs business level, a comparison in finance is made betwixt HP and one of its biggest competitors, International personal credit line Machines (IBM).

The main criteria of this newspaper are financial analysis which is apply to analyze whether an entity is stable, solvent, liquid, or profitable enough to be invested in. The paygrade is done by focusing on the income estatement, balance sheet, and cash flow statement. Financial ratio analysis purposes are to survey HPs past performance, the ideal benchmarks, its performance canvas to IBM and if HP meets its bud pull back. throughout these analyses, HPs business state is visible and thusly recommendations are given so as to make mendments to improve the negative sides of HPs. Briefly, HPs liquidity is tracking behind IBM; and so is its profitability and line turnover. On the separate hand its asset turnover and accounts receivable turnover is higher(prenominal)(prenominal) than IBM; similarly , solvency ratios indicate that HPs ability ! to top side debt with assets is higher than its competitor IBM. Overall analysis indicates that, first of all, counterbalance though HP has high revenues, but since...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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