Homework: Accounting
• Choose two publicly traded companies. Ensure that they are:
o In the same industry
o Similar size
o Similar market
• Get copies of the most recent annual reports, or financial statements. Ensure that you have the income statements and balance sheets for three years. These can be found online from Toronto Stock Exchange (TSX) website, the New York Stock Exchange or the company's websites.
• Submit the companies to the professor for approval. No two teams can choose the same companies; therefore, it is first come first serve.
• Perform a vertical analysis on both companies.
• Comment on at least three points, interpreting the data into management information.
• Perform a horizontal analysis on both companies.
• Comment on at least three points, interpreting the data into management information.
• Perform a ratio analysis on both companies.
• Comment on at least three points, interpreting the data into management information.
• Find corporate policies or practices information on each of the two companies that might explain one of the trends or variances. This information can be found in financial news, company press releases, or the MD&A (management discussion and analysis), in the annual reports.
Format your homework according to the give formatting requirements:
• The answer must be using Times New Roman font (size 12), double spaced, typed, with one-inch margins on all sides.
• The response also includes a cover page containing the student's name, the title of the homework, the course title, and the date. The cover page is not included in the required page length.
• Also include a reference page. The references and Citations should follow APA format. The reference page is not included in the required page length.