1. Download the Annual Financial Statements from HARVEY NORMAN and JB HIFI corporate websites for the year ended 30 June 2015 and answer the following questions on both companies:
a. Critically evaluate short term liquidity using three relevant ratios:
b. Critically evaluate the profitability using three relevant ratios:
c. Critically evaluate the financial stability/solvency using three relevant ratios:
Please note that you are required to interpret and discuss the ratio results and not just calculate them.
Based on the calculations above, make a formal report that has the following structure:
- Title Page
- Executive Summary
- Table of Contents
- Introduction
- Company Profile - HARVEY NORMAN
- Company Profile - JB HI FI
- Measurement of short term liquidity for - HARVEY NORMAN and JB HI FI
- Measurement of profitability for HARVEY NORMAN and JB HI FI
- Measurement of solvency for HARVEY NORMAN and JB HI FI
- Any recommendations based on your analysis of the above ratios
- Additional information that may be useful for further analysis
- Any limitations
- References
2. You are required to present your findings to the class. Each member of the group must speak for a minimum of four minutes. Explain and interpret the ratios and give a final conclusion.