[회계]accounting - Financial Statement Analysis and Valuation Project

소개글

this was for the final project of second semester
from this report you`ll obtain information about Financial Statement Analysis and Valuation Project
you can use this report for
1. accounting decision making
2. analizing financial statement(income statement and balance sheet)
3. valuation whether to buy the shares of the firm

목차

1. Description of the firm’s business

2. Comment on the overall profitability of the firm
1. Operating Capacity – Inventory turnover
2. Liquidity – Current ratio, Quick ratio
3. Financial Flexibility – Debt ratio
4. Profitability – ROA, ROE, Asset turnover, Interest rate

3. Reasons justifying forecast of ROE

4. Reasons justifying forecast of the Growth rate

5. Recommendation as to whether to buy the shares of the firm

본문내용

Billabong has been established and synonymous with surf wears since 1973 and offered shares into ASX on 11 August 2000. It has become one of the world`s leading brands cross board sports channel, its products are sold in more than 60 countries worldwide. In 2004, it continuous to be one of the most international Australian companies with in excess of 70% of revenue generated offshore. (Connect 4 2005)


Earning capacity is the ability to maintain or improve the profitability relative to previous years or relative to other business in a similar nature. This is the most important objective of the business. To interpret this, certain ratio calculations have been made. (Appendix1)


The margin has increased from 13.43 to 13.73 percent in the 2004 financial year. This indicated in every dollar of sales, 13.73 cents has bought into the net income. Compare with last year, it has increased slightly by 2.3 percent. This is happening mainly due to the increase in income is faster than the increase in sales. Better expenses control and lower buying cost have applied in this business. On the other hand, the return on equity (ROE) has increase from 14.26 to 15.04 percent. It means that every invested dollar has 15.04 percent in return. This significant 5.4 percent increase is primarily cause by the faster increase in net income than the increase in owner`s equity.

참고 자료

1. Billabong International Ltd 2004, (BBG) 2004 Annual report,
http://www.connect4.com.au.ezproxy.library.uq.edu.au/products/ar/index.html
2. Euromonitor 2005, Annual disposable income, Australia,Euromonitor
http://www.euromonitor.com.ezproxy.library.uq.edu.au
3. http://www.theage.com.au/articles
4.Corporate Overview-Five Year Summary
http://www.billabongcorporate.com
6. Aspect Fin Analysis `BBG-Price History`, Aspect Financial Pty.Limited
http://www.aspectfinancial.com.au.ezproxy.library.uq.edu.au
7. Cunningham B.M.,Nikolai,L.A.,Bazley,J.D.2004,Accounting:Information for Business Decision, 2nd edition, Thomoson South-Western, United States of America
8. Kirkwood L,Ryan C, Falt J, Stanley T.1997, Accounting:an introductory framework, Pearson Education Australia Pty Limited, Australia.
9. ASX, `Price Result - BBG`, Australian Stock Exchange,
http://www.asx.com.au/asz/markets/PriceResults.jsp?method