financial management Essay example
High school
Essay
Finance & Accounting
Pages 4 (1004 words)
Download 0
Name: Course No.: Course name: Instructor: Date: Financial Management Introduction In this report we make the comparison of two companies to check the profitability, financial policies and strategies in accordance with all the operations of the company. Our selected companies are from the telecommunication sector named as Emirate Integrated Telecommunications Company PJSC as Company A and Hits Telecom Holding K.S.C., as company B…

Introduction

Normally two ratios are being used to evaluate the liquidity of a company, they are the current ratio and quick ratio respectively. These ratios describe that how many current assets are required to fulfill the current liabilities. By using the data from each company’s financial statement we find out the current ratio of both companies. As in company A there is a large amount of assets to fullfill the liabilities of the company more efficiently as compared to the company B, so the current ratio of company A is 1 and a current ratio of company B is 0.4, the same situation is in the case of quick ratio. Quick ratio of company A is 1.02 and of the company B is 0.2. Quick ratio specifically measures the liquidity so the result shows that company A is more liquid as compared to the company B. (“HITSTELEC: Financial reports”) What do the accounts receivables turnover and inventory turnover of your company (Company (A)), compared with the other company, suggest about the company (A)’s ability to convert AR and Inventory accounts into cash? We compared account receivable turnover between company A and B, we know that account receivable turnover show that how many times companies receive payments from debtors. ...
Download paper
Not exactly what you need?

Related papers

Financial Management
Various ratios have been calculated to analyze the financial strength of the company. The overall performance of the companies during the year 2009 has also been analyzed. The nonfinancial parameters which are important to judge the company from the point of view of an investor has also been discussed in this project. Current liabilities Current liabilities can be defined as the liabilities which…
Financial management
This is different from For-Profit organizations that source their funds from shareholders who are the real owners of these organizations. Organizational structure of NGO’s and For-Profit are a bit similar in the sense that both set of organizations are managed by boards of directors. Financial management entails the processes of budgeting, Taxation and corporate governance. NGO’s typically…
Financial Management
Financial management is a division of the finance and accounting purpose i.e. concerned with the financing of an industry’s activities. Finance is usually raised through loan capital, share capital and state finance or through inside generated funds. This report is prepared for Roberta Kelly and providing good budgeting plan to her business. It is designed to give the learners a chance to…
Financial Management
The small company is usually faced by struggling financially that is the company that is acquired usually financial problems. The large company acquires the all the stock of the smaller company and makes become component of their business, that is, the smaller company usually ends up changing its and adopts the name of the large company. In most cases acquisition are usually friendly, where two…
Financial Management
It is considered as the largest and leading company that brews perfected beer with a volume of 49.2% share of beer sales (Anheuser-Busch InBev, 2008). In terms of volume of brewing it was considered as third in the world’s leading distributors of beer before it was acquired by In Bev in 2008 July and the merger was completed in November 2008. Based on revenue it was considered as the top notch…
financial management
That one for FedEx is $ 2.17 billion. Market capitalization is the total average value of a public company. Its calculation is the figure representing outstanding shares multiplied by the share price. That one for FedEx is $30.71 billion (Kansas 36). Question # 2 A standard & poor’s 500 Index is an index of 500 stocks as chosen for liquidity and industry grouping, liquidity and among other…
Financial Management
The analysis of the data present in the financial statements helps the top level management of the organization to take a correct decision. The decisions taken after proper analysis of the financial statements are appropriate having reduced chances of flaws. The financial statement is known as the raw form of data which cannot be utilized by anyone without proper knowledge. In such case…