3-Year Financial Statement

$15.00

Financial statements are formal records of the financial activities and position of a business, person, or other entity. Relevant financial information is presented in a structured manner and in a form which is easy to understand. The analysis of the common-size financial statements can either be a vertical or horizontal analysis statement. Through horizontal analysis of financial statements, you would be able to see two actual data for consecutive years and would be able to accurately do a comparative analysis of each line item. Based on either a horizontal or vertical analysis, you can forecast the future and better understand trends.

For this assignment, present, describe, and illustrate the use of financial statements. You also should form numerical examples to clarify your points. Form clear conclusions on the value gained from the analysis. Form clear conclusion on the value gained from the analysis. The intent is to take a base metric and express the other matrices in the financial statements as a percentage of this base number. In your analysis, you need to present financial rations. For example, the profit margin ratio equals net income divided by sales.  Your analysis of the common-size financial statement should be crisp and clearly define the components and matrices that are to be applied to successfully assess the financial statement.

Length: Create a 5-minute video with language that supports the role of financial statements, the metrics, and the financial rations to adequately analysis the company’s profitability and financial health.

References: Include a minimum of 5 scholarly resources.

The completed assignment should address all of the assignment requirements, exhibit evidence of concept knowledge, and demonstrate thoughtful consideration of the content presented in the course. The writing should integrate scholarly resources, reflect academic expectations and current APA standard

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