Statement Analysis Project

financial Statement digest Project FI504 Accounting and pay: managerial Use Date: 06/12/2011 Table of circumscribe 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 pass.....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 stage 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 line of credit Machines (IBM).

The main criteria of this newspaper are financial analysis which is utilize to analyze whether an entity is stable, solvent, liquid, or profitable enough to be invested in. The military rating is done by focusing on the income landment, balance sheet, and money flow statement. Financial ratio analysis purposes are to gauge HPs past performance, the ideal benchmarks, its performance comparing to IBM and if HP meets its bud attain. 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 instrument 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 upside debt with assets is higher than its competitor IBM. Overall analysis indicates that, first of all, take down 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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