StudentShare solutions
Triangle menu

Interpretation assignment - Essay Example

Nobody downloaded yet

Extract of sample
Interpretation assignment

These financial metrics point to the safety for the creditors and long-term loaners of the company; hence a low ratio becomes a point of concern for the stakeholders. The improvement in the current ratio as well as the quick ratio indicates that the company is now in a better position to pay its term obligations. This improvement is largely due to increase in the current assets especially cash and equivalents, and short term investments. Nike held $3.47 in 2013 as compared to $3.05 in 2012 for every $1 of short term liabilities as shown in appendix. Likewise, the company’s current ratio is almost at par with the industry average. Similarly, the company has seen a drastic improvement in the quick ratio in 2013 as compared to 2012. Nike held $2.31 in 2013 as compared to $1.93 in 2012 for every $1 of short term liabilities as shown in appendix. Compared to the industry average, the company leads the market with a high ratio. The improvement is again associated to the large investments in cash as well as marketable securities. The inventories, prepaid and deferred taxes only saw slight increments. Therefore, the liquidity analysis shows that Nike is in a better position to handle any unexpected current liabilities and contingencies in 2013 as compared to 2012, and compared to its industry rivals. PROFITABILITY ANALYSIS Nike’s revenues grew by 11% in 2013. ...
The company’s gross margin improved by 10 basis points in 2013 as shown in appendix; however, this improvement was due to higher net selling prices rather than the efficiency and effectiveness of the management and assets. At the same time, the company saw an increase in the labor costs associated with Nike product making which decreased the gross margins. Nike contributed 43.6c in 2013 and 43.5c in 2012 to the gross profit for every $1 sale made by the company as shown in appendix. Compared to the industry average, Nike has a better margin and is one of leaders of the industry. The net margin measures the ability of the company to control its indirect expenses associated with the company’s working. Nike saw an improved net margin in 2013 when it increased by 30 basis points as shown in appendix. However, the increment could have been much higher; but the company was unable to manage its increments in costs. The selling and administrative expenses increased by 10% in 2013 due to increase in personnel costs and advertising expense during the Olympics. Nike contributed 9.8c in 2013 as compared to 9.5c in 2012 to the net profit for every $1 sale that is made by the company as shown in appendix. Compared to industry average, the company has a moderate net margin and needs to improve in the coming years. However, the quality of the income was not favorable in 2013. The increment was mainly due to increase in the net selling prices of the Nike products all over the world. The return on equity, an important metric from an investor’s point of view, measures the return earned by the owners of the company. The company’s return on equity increased by 90 basis points in 2013 due to an increase in the ...Show more


Word Count: 1,575 words (excluding abstract) The report will analyze the financial position of Nike in 2012 and 2013. It will calculate the required ratios, examine the trends and then investigate upon the reasons behind such trend…
Author : lebsacknoemy
Interpretation assignment
Read Text Preview
Save Your Time for More Important Things
Let us write or edit the essay on your topic
"Interpretation assignment"
with a personal 20% discount.
Grab the best paper

Check these samples - they also fit your topic

Historical Interpretation of Hughess Poems
The social attitudes of the time about the back people in America were colored by racial attitudes. From this atmosphere of hatred and oppression arose the literature of protest. Harlem was the center of this renaissance movement and Langston Hughes gets his place in American Literature as a writer who stood for this awakening.
2 pages (500 words) Essay
Financial Performance Interpretation. Stilsim
The financial information of company would enable us to get a better insight. Finance is considered as the lifeline of the business. Whether the business is small, medium or large and irrespective of the industry it operates in, finance is needed to establish and run the business.
3 pages (750 words) Essay
Statutory Interpretation Business Law Assignment
The powers of the court therefore have much to do with the interpretation of law and as long as the court acts towards this end, no arm of government can usurp its power. Since the courts do not make law, this being Parliament’s role, they can only interpret what is presented to them as law via statutes (Riches & Allen 2011).
6 pages (1500 words) Essay
Such trends are however established by collective impacts from individual members of the society. Political environments also identify collective positions that are sometimes so intense to determine people’s behaviors at personal levels. The greatest sense in the phrase is however noted in social set-ups in which culture and traditional beliefs are significant in people’s lives.
4 pages (1000 words) Essay
Interpretation and criticism
This redefined understanding has come about through a definite attempt to reach at the explicit and implicit meanings embedded in the work of art. But as with everything else, interpretation carried to the extreme can have its flip side. What Sontag is talking about here is the importance of taking in the immediacy of experience, and retaining it while doing the analysis, without totally losing this thrill of the senses in the process.
2 pages (500 words) Essay
Littering is a serious environmental issue in very many states because it has negative impacts (Hill, p. 97). The sound bite in this case is “Singapore: Litter free.” Here, we see a litter bin
2 pages (500 words) Essay
Interpretation assignment
The liquidity analysis measures the ability of the company to meet its short term obligations as and when they become due. These financial metrics point to the safety for the creditors and long-term loaners of the company; hence a low
6 pages (1500 words) Essay
The Creation of Adam, when closely examined features two worlds; the upper world and the lower world. In between these worlds, there are two visible figures; that of Adam on the viewer’s left and that of God slightly elevated on
10 pages (2500 words) Essay
Cosmopolitanism, according to the reading, implies the idea that human beings, Japanese in this scenario, originated from a common
2 pages (500 words) Essay
teractions have become on the rise thus prompting curiosity of people from all over the world to adopt and understand the culture of other people from other regions. Cultural aspects have been used to influence the field of economics through the production of commodities and
2 pages (500 words) Essay
Comments (0)
Click to create a comment
Let us find you another Essay on topic Interpretation assignment for FREE!
Contact us:
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
Join us:
Contact Us