Assignment: Accounting Project/ Presentation
For your accounting project- as we learned and dived into the Managerial Accounting it is important to understand how to analysis and make key business decisions about companies in order to plan and control operations in order to best position the company from a financial and operations standpoint.
The following will be done in order to complete this project.
Ø Choose a Manufacturing company
Ø Provide Overview
o Background
o What do they do
o What type of products do they make
§ Type of Inventory they have
· Raw Materials
· Finished Goods
o Competitors
o What is their customer base
o Provide Financial Information
§ Revenue
§ Assets
§ Expense
§ Does their financials look healthy, would this be a company that you would invest in, why or why not
o What's their market share
Ø Do a SWOT Analysis
o Strengths
o Weakness
o Opportunities
o Threats
Ø Financial Analysis- Pull and review the last 2 years of the financial statements from the company website in order to identify key ratios and KPIs...and perform the following:
o Balance Sheet Analysis
§ Identify top swings in the financials (minimum of 5)
· What are the key drivers, what is causing these swings
o Inventory Analysis
§ Did the inventory accounts decrease or increase, if so what were the key drivers (i.e. did they purchase new products, did they have new investments, obtain more customers, etc.)
§ What are the risk of inventory
§ Calculate the Inventory Turnover ratio- analysis what that showing is.