Assignment:
Final Paper
Financial Statement Analysis
Prepare an eight- to ten-page fundamental financial analysis (excluding appendices, title page, abstract, and references page) that will cover each of the following broad areas based on the financial statements of your chosen company:
a. Provide a background of the firm, industry, economy, and outlook for the future.
b. Analyze the short term liquidity of the firm.
c. Analyze the operating efficiency of the firm.
d. Analyze the capital structure of the firm.
e. Analyze the profitability of the firm.
f. Conclude with recommendations for the future analysis of the company (trend analysis).
Writing the Final Paper
The paper
• Must be eight to ten double-spaced pages in length (not including title and references pages) and formatted according to APA style as outlined in the Ashford Writing Center (Links to an external site.)Links to an external site..
• Must include a separate title page with the following:
• Must begin with an introductory paragraph that has a succinct thesis statement.
• Must address the topic of the paper with critical thought.
• Must end with a conclusion that reaffirms your thesis.
• Must use at least three scholarly sources from the Ashford University Library, in addition to the text.
• Must document all sources in APA style as outlined in the Ashford Writing Center.
• Must include a separate references page that is formatted according to APA style as outlined in the Ashford Writing Center.
Financial Statement Analysis
Apple Company designs, markets and manufacturers media devices, mobile communication, digital music players, personal computers as well as selling related software, accessories, services, applications and networking solutions. The products include iPod, Mac, iPhone, Apple TV and Apple Watch (Sparks, 2017). The company usually sells its products and delivers them worldwide via its online stores, retail stores as well as through direct sales. It sells to mid-sized and small businesses, consumers, governments as well as other enterprises. The company aims at providing the best products and experience to the target market. This is made possible by the fact that it is able to manufacture unique products that stand out in the market.
In 2017, Apple's revenue increased by 7% which means that its growth had accelerated continuously for three quarters. The company's earnings per share rose as well, up to 17.6%. Its year over year growth in its profits from 38% to 38.5% was an encouraging sign to potential investors. This is also a good indicator that the company is able to charge adequately charge premium prices as well as leverage its annual economies of scale. In the same year, both its gross profit and revenue increased significantly. iPhone alone contributed 55% of the entire company's annual revenue. The company's outlook showed its revitalized growth over the years. According to Apple CEO, Tim Cook (2017), the company is looking forward to product rollouts.
Warby Parkers identified visualization as one of the strategies and Apple Company has really invested in products that are appealing to its customers. Apple products are unique in the physical features as well as the software which entices the clients who seek uniqueness. In recent times, the company has introduced new features in its products and this goes a long way in keeping the customers interested in keeping up with new technology. Additionally, the company uses illustrations, photography and videos in marketing its products. This keeps the customers more engaged with the brands and the company itself.