Report On The Company Next Plc Essay Example Pdf - Free Essay Example

Sample details Pages: 13 Words: 3761 Downloads: 4 Date added: 2017/06/26 Category Finance Essay Type Research paper Tags: Investment Essay Did you like this example? Chapter 1. NEXT Plc Investment Report (December 2010). 1.1 NEXT Plc:- This investor report will cover all key areas such as cash generation, income, management of assets, quality of investment made, performance in the relative sector and dividend policy and cost of capital. On the basis of current and past performance of the company and data provided in different annual sheets and news of the company, this report will help give a clear picture as to whether an investor should sell, hold or buy shares of Next plc. 1.2 Next Plc Introduction:- Next Plc is one of the biggest clothing retail organisations in United Kingdom. Next Plc is known as excellent quality fashion, value for money, beautifully designed and accessories for women, men and children and together a complete range of home-ware. Organisation has 500 stores all over UK and Eire. Next plc has next directory, shopping catalogue of home and website which has 2 million and more customers all over 30 countries globally. Next as an international Plc has more than 180 operating stores all over Europe, middle east, Russia, Scandinavia, Japan and India. This organisations retail operation started in year 1982 and listed on London stock exchange and member of FTSE100 index. Next Plc started online shopping in year 1999 and the website serves more than 35 countries outside the United Kingdom through NextDirect.com which is an international website of organisation. Don’t waste time! Our writers will create an original "Report On The Company Next Plc Essay Example Pdf" essay for you Create order 1.3 Groups other businesses: Next Sourcing as a venture through, which sources, designs, and buys brand products; Lipsy a venture through, which designing and selling of Lipsy brand products to young womens fashion products through the website, retail and wholesale channels; and Ventura, which offers customer service to clients, wishes to outsource their customer contact administration and fulfilment activities. 1.4 Business strategies and objective:- The strategy of Next plc is to deliver continuous productivity in long term growth of the earning per share. Developing and Improving Next product ranges, in order to achieve success which reflects the total like for like sales performance and sales. The Next plc also focuses on Increasing the Next selling space and profitability ratio, meeting financial criteria for appraisal for new stores before the investment is made and level of success is measured and monitored by the profit and sales contribution as compared the appraised focused target. Increasing the number of Next Directory customers and their average spend as well as managing of net and gross margin through sourcing of the products, and efficient administration of stock, regular cost controlling and management of working capital. Apart from this the group also focuses on the maintaining the financial strengths by strong financing structure and balance sheet figures. Lastly, Next also plans to buy their share when earning enhances in the interest of shareholder as overall. 1.5 Historical financial performance:- Revenue: The revenue evaluation by historical financial performance will help us to calculate that how organisation is delivering higher returns to the shareholders. The evaluation is done by accessing the revenues which invoice the sales value, royalty and the tax through group sell products like Cloths, footwear and home ware. FT, (2009) shows that revenue is recognised when the products value and price is constant and reasonably assurance of the due collection of amount. The total revenue on Next through the brands excluding VAT in year 2010 is  £3,215.1 million, which was  £3,088.8 million in year 2009, the total rise of revenue is seen by 11.7%. Whereas the revenue from the Ventura is  £145.6 million and from other activities was  £45.8 million in year 2010 and in year 2009 it were  £161.8 million and  £20.8 million respectively. The NEXT PLC is 2nd highest revenue earner in United Kingdom in year 2010 (Standard and Poors, 2010). The total revenue of the Next Plc has increased by 10.8% in year 2010 when compared to year 2009. Figure 1. Source Next Plc annual report, 2010- Revenue Year 2010 was unusual and unstable due to the economic downturn and drop in sales along with weakness of Sterling compared to the Euro and US Dollar which are the key buying currencies. The increased retail space of Next Plc by 257,000 square feet in year 2010 and rising retail store from 510 (2009) to 517 (2010) help increased the revenue. The weakness of Sterling was a massive challenge to margins. The average rate at which Next plc acquired US Dollars declined by 35 cents and if Next plc has paid the same dollar prices for organisations merchandise, bought in gross margin would have been reduced by -5%. The wage and Salary in year 2010 is  £597.7 million which was increased whereas in year 2009 it was  £571.4 million, Social security costs and other pension cost were nearly equal in both the year. Figure 2. Source Next Plc annual report, 2010- Staff Costs Key Management Personnel Investments activities:- Next plc has increased the investment in retail space by 257,000 square feet in year 2010 whereas in year 2010 organisation has 517 retail stores which were 510 in year 2009. Next has plan to spend  £20 million on maintaining brand image, organisation has invested  £7m to extend the stores,  £26m refitting,  £6m in shoe and new sports departments and  £17m on extensions. In investment Next has explained that concentration of organisation on online purchasing is more as compare the one store in each city, which does not justify the investment. In other way though the organisation wants expand the online purchase still Next has not spent the money on marketing in 35 countries. Share Buyback: Organisation has policy to invest the money through buy back the shares in year 2010 organisation acquired the 5.9m of share at the cost of  £120 million. Next plc has major intention to develop core business activity rather than from buy back shares and intention to maintain an investment grade credit rating. The plc expects that IT systems business continuity will require continuous enhancements and ongoing investment to prevent obsolescence and maintain responsiveness to business needs. Figure 3. Source FT.com Companies investing in Next Plc in year 2010 Figure 4. Source Annual Report 2009 Companies investing in Next plc in year 2009 As shown in above two figures 3 and figure 4 shows that black rock investment management company has enhanced their share in next Plc in year 2010 to 12.53% in September 2010 where as in year 2009 it was 9.58 %, fidelity management and research also rose their share holding to 6.23% share in 2010 which was 5.79% in year 2009. Schroders Plc has 5.79% share holding in year 2009 and dropped the shareholding to 4.81% in year 2010 because the FTSE 100 expected growth of 20% in 2011 (Citywire.co.uk, 2010). Legal and Investment Management limited company and Standard Life insurance company have also gained 4.04% and 2.75% of share holding in year 2010 whereas the AXA SA and Barclays Global investor has withdrawn the share holding in Next Plc in year 2010 (uk.reuters, 2010). As the Retail profit increased by +12.2% and net margin increased by +1.1% organisation were focusing on the employee training and development and NEXT opened 9 home stand stores and taking out of town 18 stores the se store contributes the organisation 19% contribution and expect payback period of the capital is 14 months. Sources of finance:- It is necessary for an organisation to grow the sale and revenue in order to meet the market demand and shareholder expectation. Thus, the cash flow and income generation need to be looked into. Short term Finance: The short term finance is the system in which organisation borrow loan for less than a year, it is need to evaluate and to investigate the organisations debt or over draft with in short period of time which is less than a year. Working capital is the essential to carry out the day to day business, it is calculated as current assets current liabilities, as shown in the Appendix A, organisation has the positive working capital which helps the organisation to pay the short term liabilities. Though the significant drop of the working capital is seen in year 2010 ( £283.1 million) as compared to year 2009( £360.1million) is justified on the basis of the organisation investment in the new stores, increasing the retail space in many retail store, improving the online business and training and development activities for the employee. It is also seen that debtor days is decreased from 69 days to 66 days this shows that the better financial position of the Next Plc. In Next plc th e current ratio of the organisation is positive and indicates that the organisation has the positive and good financial position to pay the debt and liabilities. As shown in appendix A in year 2009 the current ratio was 1.50 and in year 2010 it is 1.37 which is positive justify the organisational strength. Appendix shows that the industry ratio is higher than the Next but the less and more than 1 ratio is justified on the basis of the organisation market expansion and store expansion strategy, and SP current ratio is low as compared to the organisations ratio. Figure 5. Source Annual Report 2010 Current liabilities Quick ratio:- Quick ratio helps to show that the organisation meets the short-term debt, (Current assets-inventories)/ Current liabilities. There is slight drop in the ratio seen in year 2010 (0.96) as compare to year 2009 (1.05), the slight drop is seen because of the increasing other creditors and accruals which is  £309.0 million (2010) which was  £239.6 million (2009), and other taxation and social security in year 2010 it was  £60.9 million which was  £46.3 million in year 2009. Long term finance:- The long term finance of the organisation is evaluated by equity. The equity of the company has  £ 133.6 million which was slightly dropped as compare to year 2009 which was  £140.6 million. In year 2010 the Fair value reserve of the organisation decreases drastically from  £69.6 million to  £ 5.1 million. The drop in the equity has seen year due to demerger of the Barclays Global Investment and AXA SA, in same way Schroder Investment management has decrease the share holding from 7.41% (2009) to 4.81% (2010) the significant drop has seen due to the Schroder Plc expects the FTSE 100 expected to rise at 20% and wanted to invest in FTSE100 (Matthew Goodburn, 2010). Figure 6. Composition of Equity in 2010-2009 Authorised share capital:- Figure 7. Source Annual Report 2010 Share Capital of Next Plc During the year 2010 Next plc purchased the 5,928,082 ordinary shares at 10 pence each at the open market at the cost of  £120.1 Million, whereas in year 2009 next purchased the 3,900,000 ordinary shares at the cost of  £53.6 million. Debt finance:- In year 2009 the total finance next plc has 567.8 million where as it was reduced in year 2010 it is  £ 520.9. The coupon rate next has issued 5.25% and had a nominal value of the  £300 million. Figure 8. Source Annual Report 2010 Corporate Bonds Figure 9. Source Annual Report 2010 Non-Current Liabilities Next plc has purchased a further  £9,500,000 of its 5.25% bond due September 2013 since the previous announcement on bond buybacks on 22 November 2009. A total of  £45,709,000 of these bonds has been purchased for cancellation, representing 15.2% of the initial issue and Following the repurchases,  £254,291,000 of the bonds remains in issue (londonstockexchange.com, 2010). Cash and Income generation:- Diagram below shows that net income improved 20.40% from  £302.40m to  £364.10m in year 2010, and the return on Asset is 23.77%, and return on investment is 43.24%. Figure 10. Source FT.com Net Income The generated income in year 2010 is  £530 million and the last year which was  £478 million, the rise of 11% was also explained that the total interest paid is  £25 million and in year 2009 it was  £45 million, the significant profit increase is due to the increasing stores in UK and increasing retail space in UK. The growth in retail cloth and footwear industry prediction is also helps to achieve the significant growth in profit of the organisation (FT, 2010). Figure 11. Source Annual Report 2010 Profit Before Tax Earnings per ordinary share:- Earnings per share are the indicator of the industry profitability, in calculating the capital required is an essential. The diagram below shown explains the next plc trend of the earning in year 2010 and 2009. Despite the challenging year Next Plc In year 2010 the basic earnings per share was significantly higher than the organisations past 5 years of performance, the 21% of increase in share earnings is proves the Next plc competitive financial and market position (London stock exchange 2010). The buyback share has also helps to achieve the 5% significant earnings per share. Figure 12. Source London Stock Exchange 2010 Earnings per Share The diagram below explains that the earning per share of the Next Plc was till 2008 was low as compares to the FTSE 100 and FTSE retailers, but the year 2010 shows the significant improvement in the performance as compare to other two bench markers. Figure 13. Source Annual Report 2010 Performance Chart Return on investment:- As shown in appendix and diagram below, the return on investment of last 5 years average was 39.92 where as in year 2010 return on investment was significantly higher. When return on investment concern the industry rate of return was 11.59, sector rate of return was 2.63 and SP return on Investment was 7.66 which was very low as compare to the actual Return on investment which NEXT Plc achieved in 2010, this shows the better and effective management of organisation towards the growth. Figure 14. Source uk.reuters.com Management Effectiveness Dividends Policy:- Next Plc has the progressive dividend policy, after raising profit by 18% to  £505 million and earnings per share 21% the board has sanctioned the 66 pence per share as a Dividend which is 20% more than last year (55 pence). The improving profit has been seen due to the development of the brand, products range, expansion of store, development of the online stores and cost controlling. Dividend cover remains healthy at 2.8 times compared to the sector average of 2.4 times. Given Next Plc expectation for further strong cash flow and the current level of cover, expect to raise dividends in the year ahead by at least 10%. Next has returned over  £2.2 billion to shareholders by way of share buybacks and in excess of  £900 million in dividends. This buyback activity has enhanced earnings per share, given shareholders the opportunity for capital (as well as revenue) returns and has been transparent to the financial markets. 1.6 Risk management To manage and mitigates the risks Next Plc has used the derivative as a financial instruments, the groups treasury policy is review and sanctioned by Board including authorised counterparties, instrument types and transaction limits, and principles governing the management of liquidity, interest and foreign currency risks. The Groups principal financial instruments, other than derivatives, are cash and short term deposits, bank overdrafts and loans, and corporate bonds. The main purpose of these financial instruments is to raise finance for the Groups operations. Liquidity risk:- The Next Plc manages its requirements in terms of cash and borrowing centrally to minimise net interest expense within risk parameters and ensures that the Group has sufficient liquid resources to meet the operating needs of its businesses. Figure 15. Source Annual Report 2010 Liquidity Risk It has been seen that as compared to the year 2009 the bank loan and overdraft has reduced in year 2010 to  £4.7 million where as in year 2009 it was  £ 121.6 million and the trade payable in year 2010 is  £379.5 million which was  £345.9 million in year 2009. The total cash flow in year 2010 is  £1104.5 million which was  £1121.4 million in year 2009, the significant drop is due to organisation better management of the bank loan and overdraft. At 30 January 2010 the Group had committed borrowing facilities of  £295.0m (2009:  £445.0m) in respect of which all conditions precedent have been met and which expire in July 2010. Interest rate risk:- The Next Plc has exposed to fair value interest rate risk on its fixed rate corporate bonds and cash flow interest rate risk on floating rate bank loans and overdrafts. The forecast cash and borrowings profile of the Group is monitored regularly to assess the mix of fixed and variable rate debt, and the Group uses interest rate derivatives where appropriate to reduce its exposure to changes in interest rates and the economic environment. Foreign currency risk:- The Groups principal foreign currency exposures arise from the purchase of overseas sourced products. Group policy allows for but does not demand that these exposures are hedged for up to 18 months ahead in order to fix the cost in Sterling. This hedging activity involves the use of spot, forward and option contracts. The market value of outstanding foreign exchange derivatives is reported regularly at Board level, and reviewed together with percentage cover taken by season and current market conditions in order to assess and manage the Groups on-going exposure. The Group does not have a material exposure to currency movements in relation to translation of overseas assets or liabilities and consequently does not hedge any such exposure. Foreign currency:- As shown in the table below Next Plc uses derivative instruments in order to manage foreign currency exchange risk arising on expected future purchases of overseas sourced products during the next twelve months. These derivatives comprise forward currency contracts and currency options, the terms of which match the terms of the expected purchase. Figure 16. Source Annual Report 2010 Foreign Currency 1.7 Performance of the Next and Sector:- From below diagram it is shows that the return on Investment and Return on Equity has significantly improved in Next in year 2010. Figure 17. Financial Progress 2010 Figure 18. Management effectiveness 2010 Figure 19. Financial Strength of Next Plc in 2010 From above two diagrams it is seen that management of the Next Plc is on the basis of return on assets, return on investment and Return on equity has significantly better as compares the Sector and Industry. Figure 20. Source Google Finance Share Price Comparison From above diagram which shows the comparison in between the competitors and FTSE100 index, it shows that since last quarter of 2008 the performance of Next plc is significantly better as compare to Mark Spencer Plc, Debenhams PLC and FTSE 100 index. 1.8 Conclusion:- On the basis of the above analysis it is concluded that Next Plc has good financial position and competitive advantages as compare to the industry competitors. The significant improving of profit of  £505 million and Earnings per share and Dividend and revenue generation has shows the positive growth of the next Plc. There is control of the book value as seen from the balance sheet. The management are effective and the company is of high value. Next Plc obtains extra revenue from managing wise investments. There was a 7% increase in sales in this third quarter which forces a bidding war to erupt. 1.9 Recommendation:- On the basis of above discussion, various investor analysis and my analysis it is recommended that investor should hold the share of Next Plc. Next Plc has improved the performance on the basis of revenue, profit, dividend paid and Earnings per share. As shown in below diagram it is proved that financial condition of NEXT plc is very good and also expected to perform well in retail Cloth and footwear industry. Source UK Reuters. Com Source UK Reuters. Com Source UK Reuters. Com 1.10 Appendices:- Appendix: A, 2010 2009 Working Capital 283.1 million 360.1 Million Total creditors days 66.06 Days 69.54 Days Quick ratio = (current assets stock) /current liabilities 0.96 1.05 current ratio = current asset /current liabilities 1.373 1.50 total debtors days= debtors /credit sales *365 58.96 54.72 Appendix: B, Return on Equity (%) 68.67 54.38 Gearing 85.04 83.54 Interest cover ratio 3.5 3.38 Quick Ratio 0.96 1.05 Appendix: C, ANALYSIS Estimates Mean High Low 1 Year  Ago SALES (in millions) Year Ending  Jan-10 21 3,370.89 3,472.10 3,249.40 Year Ending  Jan-11 24 3,474.00 3,532.23 3,417.16 3,405.85 Year Ending  Jan-12 24 3,573.02 3,674.64 3,453.00 3,519.91 EARNINGS (per share) Year Ending  Jan-10 23 181.24 185.53 177.30 Year Ending  Jan-11 26 214.09 228.12 200.00 177.22 Year Ending  Jan-12 26 229.17 253.28 196.10 190.23 LT Growth Rate (%) 4 12.00 17.60 9.30 6.89 Source, ukreuters.co.uk Sales and Earnings Figures VALUATION RATIOS Company Industry Sector SP 500 P/E Ratio (TTM) 11.25 19.50 12.30 18.06 P/E High Last 5 Yrs. 1.90 0.23 19.89 P/E Low Last 5 Yrs. 0.34 0.06 5.14 Beta 0.96 0.71 0.96 1.28 Price to Sales (TTM) 1.13 2.09 2.45 2.13 Price to Book (MRQ) 45.57 2.50 0.90 2.84 Price to Tangible Book (MRQ) 98.66 4.86 1.09 19.19 Price to Cash Flow (TTM) 7.71 18.18 6.20 10.60 Price to Free Cash Flow (TTM) 12.86 14.10 6.75 47.90 % Owned Institutions DIVIDENDS Company Industry Sector SP 500 Dividend Yield 3.36 1.83 1.07 1.64 Dividend Yield 5 Year Avg. 3.33 1.39 1.35 2.48 Dividend 5 Year Growth Rate 9.99 11.06 2.09 -6.80 Payout Ratio(TTM) 35.10 24.16 12.55 38.57 GROWTH RATES Company Industry Sector SP 500 Sales (MRQ) vs Qtr. 1 Yr. Ago 4.95 8.49 8.05 9.41 Sales (TTM) vs TTM 1 Yr. Ago 6.05 8.02 7.51 8.74 Sales 5 Yr. Growth Rate 3.57 12.46 9.69 9.98 EPS (MRQ) vs Qtr. 1 Yr. Ago 22.11 80.36 245.96 6.03 EPS (TTM) vs TTM 1 Yr. Ago 18.77 EPS 5 Yr. Growth Rate 8.43 9.11 2.10 6.96 Capital Spending 5 Yr. Growth Rate -7.30 6.61 5.04 4.90 FINANCIAL STRENGTH Company Industry Sector SP 500 Quick Ratio (MRQ) 0.83 1.37 0.59 0.64 Current Ratio (MRQ) 1.23 1.91 0.76 0.95 LT Debt to Equity (MRQ) 608.30 17.21 26.05 119.05 Total Debt to Equity (MRQ) 676.36 28.92 39.19 174.09 Interest Coverage (TTM) 10.39 0.35 18.91 PROFITABILITY RATIOS Company Industry Sector SP 500 Gross Margin (TTM) 40.71 12.16 32.66 Gross Margin 5 Yr. Avg. 28.26 44.42 24.44 29.16 EBITD Margin (TTM) 19.45 EBITD 5 Yr. Avg 18.60 12.03 10.47 18.54 Operating Margin (TTM) 15.97 9.38 -5.96 Operating Margin 5 Yr. Avg. 15.39 9.81 5.49 16.38 Pre-Tax Margin (TTM) 15.31 9.50 -6.00 14.93 Pre-Tax Margin 5 Yr. Avg. 14.39 10.11 5.35 15.98 Net Profit Margin (TTM) 11.12 5.70 -6.77 11.09 Net Profit Margin 5 Yr. Avg. 10.16 5.87 3.60 11.73 Effective Tax Rate (TTM) 27.37 77.35 15.72 51.21 Effecitve Tax Rate 5 Yr. Avg. 29.43 44.89 32.66 25.46 EFFICIENCY Company Industry Sector SP 500 Revenue/Employee (TTM) 97,737 61,607,758 21,641,280 674,027 Net Income/Employee (TTM) 10,870 3,893,360 1,088,333 84,519 Receivable Turnover (TTM) 5.93 81.38 18.19 10.38 Inventory Turnover (TTM) 4.29 4.40 6.71 Asset Turnover (TTM) 2.14 1.11 0.38 0.55 MANAGEMENT EFFECTIVENESS Company Industry Sector SP 500 Return on Assets (TTM) 23.77 8.15 1.74 5.91 Return on Assets 5 Yr. Avg. 21.04 8.77 3.56 5.74 Return on Investment (TTM) 43.24 11.50 2.62 7.59 Return on Investment 5 Yr. Avg. 39.92 13.00 6.23 7.41 Return on Equity (TTM) 369.21 13.68 5.32 17.84 Return on Equity 5 Yr. Avg. 239.36 14.98 9.14 9.20 Chapter 2. References and Bibliography. Standard and Poors, 2010, Risk-to-Price Commentary: Next PLC, Publication date: 16-Aug-2010 14:12:45 EST, Available at: https://www.standardandpoors.com/productsservices/articles/en/us/?assetID=1245219585883 (Access on 20:25 on 12/11/2010) Financial times 2010, Available at: https://markets.ft.com/tearsheets/businessProfile.asp?s=NXT:LSE (Access on 3:25 on 13/11/2010) 3. Next Plc Annual report 2010, Available at: https://www.nextplc.co.uk/nextplc/financialinfo/reportsresults/2009/jan10/jan10-c.pdf (Access on 23.00 on 15/10/2010) Financial times.com Available at: https://markets.ft.com/tearsheets/financialsSummary.asp?s=NXT:LSE (Access on 02:39, 14/11/2010) Citywire.co.uk, Matthew Goodburn, 2010, Bullish Buxton: FTSE to gain 20% in 2011, Available at: https://citywire.co.uk/money/bullish-buxton-ftse-to-gain-20-in-2011/a433730 (Access on 14:36, 13/11/2010) UK.reuters.com, 2010, NEXT plc Announces Holding Interest Of Legal General Group Plc Available at: https://uk.reuters.com/business/quotes/keyDevelopments?symbol=NXT (Access at 17:48 on 13/11/2010) London Stock Exchange, GBP 300m 5.25% Sterling bond due September 2013, Available at: https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail.html?announcementId=10331181 (Access on 02:10, 14/11/2010) Atrill P., Financial Management for Decision Makers, 5th edition, FT prentice Hall, 2009. Austin, L.M. (2005) Benchmarking to Economic Value Added. An International Journal. 12(2). Pp 138-150. Creelman, J. Makhijani, N. (2005) Mastering Business in Asia:Succeeding With The Balanced Scorecard Singapore: John Wiley Sons(Asia)Pte Ltd Horngren, C.T., Sundem, G.L., Stratton, W.O., Burgstahler, D. and Schatzberg, J. (2008) Introduction Management Accounting. 14th edn. New Jersey: Pearson Prentice Hall McLaney, E. J. (2000) Business Finance:Theory and Practice 5th edn. Essex:Pearson Education Limited Melicher, R. W. Leach,J .C.(2009) Finance For Entrepreneurs 3rd edn.USA: South-Western Cengage Learning Neale, B. McElroy, T. (2004) Business Finance: A Value-Based Approach Essex:Pearson Education Limited Olve, N.G , Roy, J. Wetter. M.(2000) Performance Drivers:A Practical Guide to Using the Balanced Scorecard West Sussex:John Wiley Sons Ltd Upchurch, A. (1998) Management Accounting: Principles Practice Essex:Pearson Education Limited

Fame Isnt Everything - 1111 Words

Fame Isn’t Everything Chloe McGlaun Galveston College Fame Isn’t Everything Kurt Cobain was born in Aberdeen, Washington on February 20, 1967. When Cobain turned eight, his childhood was no longer filled with happiness due to his parents divorce. After receiving a guitar for his fourteenth birthday, Cobain found an outlet for his emotions. In 1987, Cobain and his friends formed a band, which became known as Nirvana. Two years later, they came out with their first album called Bleach. During Nirvana’s first European tour, Cobain experienced his first mental breakdown while performing, not long after he began using heroine. Courtney Love, a singer in the punk-rock band Hole, and Cobain began having relations. After Love†¦show more content†¦Cobain’s first suicidal attempt in 1992 was thought to be a mistake, until his three page suicide note was found (Kurt Donald Cobain, 2014). 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They also want to be one of the greats; they want to be remembered; they want to be in the hall of fame. Now, envision yourself as a newbie on a baseball team that

Home Reading Report Free Essays

string(420) " 1 2 12 2 0 1 0 12 2 0 1 2 0 3 Electromechanical Supervisor Servicing Department Supervisor Machinist / Tool keeper Machinist / Fitter Mandaue City, Philippines Mandaue City, Philippines MEPZ- I ,Mactan Island, Cebu, Philippines MEPZ- I ,Mactan Island, Cebu, Philippines ZERCOOL POWER Airconditioning and Electrical Services B and A TRADING and Airconditioning Services ABTECH Machineries and Engineering Services Corp\." Save to Officio Citizenship and Immigration Canada Citoyennete et Immigration Canada PROTECTED WHEN COMPLETED – B PAGE 1 OF 4 SCHEDULE A BACKGROUND / DECLARATION The principal applicant, his or her spouse or common-law partner, if applicable, and all dependent children aged 18 years or older listed in the application for permanent residence must complete their own copy of this form. If there is not enough space to provide all the necessary information, attach to this form a separate sheet of paper with further details. Print your name at the top of each additional sheet and indicate the form’s title and the number of the question you are answering. We will write a custom essay sample on Home Reading Report or any similar topic only for you Order Now Before you start completing this form, make enough photocopies for your needs. You can also print all or part of this form from our Web site at www. cic. gc. ca. BEFORE YOU START, READ THE INSTRUCTION GUIDE TYPE or PRINT in black ink Indicate whether you are The principal applicant 1. Your full name Family name The spouse, common-law partner or dependent child aged 18 years or older of the principal applicant 6. Have you, or, if you are the principal applicant, any of your family members listed in your application for permanent residence in Canada, ever: YES NO a) been convicted of a crime or offence in Canada for which a pardon has not been granted under the Criminal Records Act of Canada? b) been convicted of, or are you currently charged with, on trial for, or party to a crime or offence, or subject of any criminal proceedings in any other country? c) made previous claims for refugee protection in Canada or at a Canadian visa office abroad, in any other country or countries, or with the United Nations High Commissioner for Refugees (UNHCR)? ) been refused refugee status, an immigrant or permanent resident visa (including a Certificat de selection du Quebec (CSQ) or application to the Provincial Nominee Program) or visitor or temporary resident visa, to Canada or any other country? e) been refused admission to, or ordered to leave, Canada or any other country? f) been involved in an act of genocide, a war crime or in the commission of a crime against humanity? Date of birth Town/City of birth Country of birth Date of death, if deceased 5. Year Month Day Tito Given name(s) Roderick 2. Your full name written in your native language or script (e. . , Arabic, Cyrillic, Chinese, Korean, Japanese characters or Chinese commercial/telegraphic code) Roderick M. Tito 3. 4. Your date of birth Year Month Day 1972 01 17 Personal details of your father Family name Tito Given name(s) Felix 1 9 1 2 1 2 0 8 Danao City, Cebu Philippines Year Month Day g) used, planned or advocated the use of armed struggle or violence to reach political, religious or social objectives? h) been associated with a group that used, uses, advocated or advocates the use of armed struggle or violence to reach political, religious or social objectives? ) been member of an organization that is or was engaged in an activity that is part of a pattern of criminal activity? j) been detained, incarcerated or put in jail? 1 9 9 8 Personal details of your mother Family name at birth k) had any serious disease or physical or mental disorder? Tito If your answer to any of these questions is YES, provide details below. Given name(s) Fedilinda Date of birth Town/City of birth Country of birth Date of death, if deceased 1 9 4 7 0 4 2 7 Year Month Day Danao City, Cebu Philippines Year Month Day This form is made available by Citizenship and Immigration Canada and is not to be sold to applicants. IMM 5669 (07-2011) E (DISPONIBLE EN FRANCAIS – IMM 5669 F) Save to Officio PAGE 2 OF 4 7. Education Give the number of years of school you successfully completed for each of the following levels of education. Elementary/ primary school Secondary/ high school University/ college Trade school or other post secondary school 6 4 1. 5 Give full details of all the secondary and post secondary education (including university, college and apprenticeship training) you have had. From To Type of certificate or Name of institution City and country diploma issued Y M M Y 2 0 1 1 1 1 2 0 1 2 0 3 2 0 1 2 0 3 2 0 1 2 0 3 1 9 9 7 1 2 1 9 9 7 1 2 1 9 9 7 0 6 1 9 9 7 0 7 BMC Training Center for Welding and Fabrication Inc. BMC Training Center for Welding and Fabrication Inc. MIAP Training and Service Center / TESDA Region VII Technical Education and Skills Development Authority ( TESDA Region VII ) Mandaue Technical Institute Mabolo Cebu City, Philippines Mabolo Cebu City, Philippines Cebu City, Philippines Cebu City, Philippines 1 9 9 4 0 6 1 9 9 5 0 4 8. Personal history Mandaue City, Cebu Philippines Shielded Metal Arc Welding NC II ( 360 hrs. ) Industrial Pipefitting NC II ( 160 hrs. ) Industrial Pipefitting Course ( 80 hrs. ) Refrigeration and Air Conditioning 10 months Basic Seaman Course Provide the details of your personal history since the age of 18, or the past 10 years, whichever comes first. Start with the most recent information. Under â€Å"Activity†, write your occupation or job title if you were working. If you were not working, provide information on what you were doing (for example: unemployed, studying, travelling, retired, in detention, etc. ). Note: Please ensure that you do not leave any gaps in time. Failure to account for all time periods will result in a delay in the processing of your application. From Y M Y To M Activity Welding Instructor and Aircon Techinician City or town and country Cebu City, Philippines Name of company, employer, school, facility, as applicable Brilliant Metal Craft Training Center for Welding and Fabrication Inc. 2 0 1 2 0 6 2 0 1 2 12 2 0 1 0 12 2 0 1 2 0 3 Electromechanical Supervisor Servicing Department Supervisor Machinist / Tool keeper Machinist / Fitter Mandaue City, Philippines Mandaue City, Philippines MEPZ- I ,Mactan Island, Cebu, Philippines MEPZ- I ,Mactan Island, Cebu, Philippines ZERCOOL POWER Airconditioning and Electrical Services B and A TRADING and Airconditioning Services ABTECH Machineries and Engineering Services Corp. ATA Engineering and Technology Consortium Inc. 1 9 9 7 0 6 2 0 1 0 12 1 9 9 4 0 4 1 9 9 6 12 1 9 9 2 1 1 1 9 9 4 0 3 9. Membership or association with organizations What organizations have you supported, been a member of or been associated with? Include any political, social, youth or student organization, trade unions and professional associations. Do not use abbreviations. Indicate the city and country where you were a member. Write â€Å"NONE† in the box if you have not been a member of any association/organization. From Y M Y To M Name of organization Insovilla Plains Homeowners Association BMC Assistant Instructor NONE Type of organization SOCIAL STUDENT Activities and/or positions held within organization PRESIDENT PRESIDENT City and country Lapu-lapu City, Cebu Philippines Cebu City, Philippines 2 0 0 7 0 3 2 0 1 2 2 0 1 2 0 5 2 0 1 2 0 6 NONE NONE 10. Government positions List any government positions (such as civil servant, judge, police officer) you have held. Do not use abbreviations. Write â€Å"NONE† in the box if you have not held any government position. From Y M Y To M Country and level of jurisdiction (e. g. national, regional, municipal) NONE Department/Branch Activities and/or positions held NONE NONE NONE NONE IMM 5669 (07-2011) E Save to Officio PAGE 3 OF 4 11. Military service Provide below details of military service for each of the countries in whose armed forces you served. Write â€Å"NONE† in the box if you have not undertaken military service. Name of country NONE From Y M Y To M Branch of service, unit numbers and names of your commanding officers Rank(s) Dates and places of any active combat NONE NONE NONE NONE NONE NONE Name of country NONE From Y M Y To M Branch of service, unit numbers and names of your commanding officers Rank(s) Dates and places of any active combat NONE NONE NONE NONE NONE NONE 12. Addresses List all addresses where you have lived since your 18th birthday. Do not use P. O. box addresses. From Y M Y To M Juan Luna Street 749 M. L Quezon St. Cabancalan Insovilla Plains, Marigondon Street and number City or town Province, State or District Country 1 9 9 0 0 1 1 9 9 3 0 1 1 9 9 3 0 1 2 0 0 0 0 3 Danao City Mandaue CIty Lapu-lapu City Cebu Cebu Cebu Philippines Philippines Philippines 0 0 0 0 3 2 0 1 2 12 IMM 5669 (07-2011) E Save to Officio PAGE 4 OF 4 Authority to disclose personal information By submitting this form, you consent to the release to Canadian government authorities of all records and information any government authority, including police, judicial and state authorities in all countries in which you have lived may possess on your behalf c oncerning any investigations, arrests, charges, trials, convictions and sentences. This information will be used to assist in evaluating your suitability for admission to Canada or remaining in Canada pursuant to Canadian legislation. Declaration of applicant I declare that the information I have given is truthful, complete and correct. Year Month Day Signature Date DO NOT COMPLETE THE FOLLOWING SECTION NOW. YOU MAY BE ASKED TO SIGN IN THE PRESENCE OF A REPRESENTATIVE OF THE CANADIAN GOVERNMENT OR AN OFFICIAL APPOINTED BY THE CANADIAN GOVERNMENT. Solemn declaration I, , do solemnly declare that the information I have given in the foregoing application is truthful, complete and correct, and I make this solemn declaration conscientiously believing it to be true and knowing that it is of the same force and effect as if made under oath. Interpreter declaration I, , do solemnly declare that I have faithfully and accurately interpreted in the language the content of this application and any related forms to the person concerned. I have been informed by the person concerned, and I do verily believe, that he or she completely understands the nature and effect of these forms, and I make this solemn declaration conscientiously believing it to be true and knowing that it is of the same force and effect as is made under oath. Signature of applicant Signature of interpreter Declared before me at Canadian Government official this day of of the year Name Please print or type Signature The information you provide on this form is collected under the authority of the Immigration and Refugee Protection Act and will be used for the purpose of assessing your application for permanent residence. It will be stored in Personal Information Banks (PPU 039 entitled Overseas Immigration Case File and PPU 042 entitled Immigrant Case File). It may be shared with other organizations in accordance with the consistent use of information under the Privacy Act. Under the provisions of the Privacy Act and the Access to Information Act, individuals have the right to protection of and access to their personal information. Details on these matters are available at the Infosource website (http://infosource. gc. ca) and are also available at public libraries across Canada. IMM 5669 (07-2011) E Family Name: Tito Save to Officio Given Name: Roderick . 7. Education Give the number of years of school you successfully completed for each of the following levels of education. Elementary/ Secondary/ University/ 6 4 primary school high school college ADDENDUM 1. 5 Trade school or other post secondary school Give full details of all the secondary and post secondary education (including university, college and apprenticeship training) you have had. From Y M Y To M Name of institution BMC Training Center for Welding and Fabrication Inc. City and country Mabolo Cebu City, Philippines Mabolo Cebu City, Philippines Cebu City, Philippines Cebu City, Philippines Type of certificate or diploma issued Shielded Metal Arc Welding NC II ( 360 hrs. ) Industrial Pipefitting NC II ( 160 hrs. ) Industrial Pipefitting Course ( 80 hrs. Refrigeration and Air Conditioning 10 months Basic Seaman Course 2 0 1 1 1 1 2 0 1 2 0 3 2 0 1 2 0 3 2 0 1 2 0 3 1 9 9 7 12 1 9 9 7 12 1 9 9 7 0 6 1 9 9 7 0 7 BMC Training Center for Welding and Fabrication Inc. MIAP Training and Service Center / TESDA Region VII Technical Education and Skills Development Authority ( TESDA Region VII ) Mandaue Technical Institute 1 9 9 4 0 6 1 9 9 5 0 4 . 8. Personal history Mandaue City, Cebu Philippines Provide the details of your personal history since the age of 18, or the past 10 years, whichever comes first. Start with the most recent information. Under â€Å"Activity†, write your occupation or job title if you were working. If you were not working, provide information on what you were doing (for example: unemployed, studying, travelling, in detention, etc. ). Note: Please ensure that you do not leave any gaps in time. Failure to account for all time periods will result in a delay in the processing of your application. From Y M Y To M Activity Welding Instructor and Aircon Techinician City or town and country Cebu City, Philippines Name of company, employer, school, facility, as applicable Brilliant Metal Craft Training Center for Welding and Fabrication Inc. 0 1 2 0 6 2 0 1 2 12 2 0 1 0 12 2 0 1 2 0 3 Electromechanical Supervisor Servicing Department Supervisor Machinist / Tool keeper Machinist / Fitter Mandaue City, Philippines Mandaue City, Philippines MEPZ- I ,Mactan Island, Cebu, Philippines MEPZ- I ,Mactan Island, Cebu, Philippines Mandaue City, Philippines Danao City, Philippines ZERCOOL POWER Airconditioning and Electrical Services B and A TRADING and Airconditioning Services ABTECH Machineries and Engineering Services Corp. ATA Engineering and Technology Consortium Inc. 1 9 9 7 0 6 2 0 1 0 12 1 9 9 4 0 4 1 9 9 6 12 1 9 9 2 1 1 1 9 9 4 0 3 9 9 2 1 1 1 9 9 3 0 5 1 9 9 0 0 4 1 9 9 2 10 Production Worker Coal Miner Sunpride Foods, Inc. Almendras Mining Corporation 12. Addresses List all addresses where you have lived since your 18th birthday. Do not use P. O. box addresses. From Y M Y To M Street and number City or town Province, State or District Country 1 9 9 0 0 1 1 9 9 3 0 1 1 9 9 3 0 1 2 0 0 0 0 3 Juan Luna Street Danao City Cebu Philippines 749 M. L Quezon St. Cabancalan Insovilla Plains, Marigondon Mandaue CIty Lapu-lapu City Cebu Cebu Philippines Philippines 2 0 0 0 0 3 2 0 1 2 12 IMM 5669 (07-2011) E . How to cite Home Reading Report, Essay examples

Income Statement Ratios Important to Investors

Question: Describe and analyse the role of accounting information in a business context.Analyse a set of financial statements including balance sheet, profit and loss accounts and cash flow statements.Demonstrate the relationship between accounting data and financial planning and resource allocation decisions. Answer: 1 a. Trial balance is an accounting report which contains the balance of all the general ledger accounts of an organization. It is generated at the end of the accounting period using the ledgers. The debit contains all the assets and the expenses while the credit side contains liabilities equities and revenue earned by the company. The balances which are to be debited are listed in the debit column while the balances which are to be credited is listed in the credit column. The total of debit column in the trial balance should be equal to the total of credit column in the trial balance. After preparing the unadjusted trial balance, the final adjusted trial balance is made by taking into account all the entries which were either wrongly entered or missed while making the trial balance. In the given question, the adjustment entries were made for Closing inventory Depreciation of both Equipment and Motor vehicles Prepayment of Rent Accrual of Telephone bill Heat and lighting expense Accrual of tax The trial balance and adjustment entries are given below: Weather and Sons Trial Balance as at 30th June 2016 Adjustments - Final TB - DR CR DR CR DR CR Retained Profit 88000 88000 Sales 636000 636000 Share Capital 100000 100000 Share Premium 200000 200000 Inventory 87000 37000 50000 Purchases 230000 37000 267000 Trade payables 86000 86000 Trade receivables 205000 205000 bank 83900 83900 Motor Expenses 12987 12987 Maintenance 12000 12000 Salaries Wages 106000 106000 Administration Expenses 33220 33220 Telephone 5687 4300 9987 Heat Light 14300 5000 9300 Equipment at cost 318000 47700 270300 Provision for depreciation equipment 45000 45000 Motor vehicles at cost 45000 11250 33750 Provision for depn motor vehicles 6000 6000 Rent 68000 8000 60000 Advertsing 19118 19118 Bad Debts 3788 3788 Provision for Bad Debts 2000 2000 Long term loan 90000 90000 Interest 9000 9000 Equipment depreciation 47700 47700 Motor vehicles depreciation 11250 11250 PrePayments 13000 13000 Accrual 4300 4300 Income tax expense 18300 18300 Provision for income tax 18300 18300 Loan interest accrued Total 1253000 1253000 131550 131550 1275600 1275600 B. Income statement also called profit and loss statement is one of the most important financial statements. It is important as it tells about the profitability of the company. The Income statement contains the sources of revenue of the company and the various expenses involved in conducting the business. It tell about the business if it is able to generate profit or not and if the investors should invest in the company. The income statement can be divided into operating part and non operating part. The operating part contains the revenue, expense, which are involved due to daily activities of the business. The non operating part contains expense which does not involve daily activities. Income statement using the adjusted trial balance is given below: Weather and Sons Income Statement as at 30th June 2016 Sales 636000 Purchases 267000 Gross Profit 369000 Operating Expenses Depreciation 58950 Maintenance 12000 Salaries Wages 106000 Administration Expenses 33220 Telephone 9987 Heat Light 9300 Motor Expenses 12987 Rent 60000 Advertising 19118 Bad Debts 3788 Interest 9000 Operating Income 34650 Tax 18300 Net income 16350 Thus from the income statement in can be seen that the Profit earned by the company is 16350. C. Balance Sheet of the company is one of the most important financial statements used by the investors. It represents the financial condition of the company on a specified date. It contains the assets and liabilities owned by the company and the amount invested by the shareholders. Also the balance sheet holds the accounting equation Assets = Liabilities + Shareholder Equity The assets are the documented in the top of balance sheet and is arranged in the order of liquidity with the most liquid assets first. The assets contain current assets and non current assets. The current assets are either cash or cash equivalent which can be converted to cash in less than a year. It consists of cash, prepaid expense, account receivables and inventory. The non current assets take longer time to convert to cash (more than a year). It consists of equipment, long term investment and intangible assets. The liabilities of the company are the amount the company owes to various account holders. It contains current liabilities and non current liabilities. The current liabilities of the company have to be paid by the company in less than a year. The non current liabilities of the company have to be paid by the company in a longer time (more than a year). The shareholder equity is the last part of the balance sheet. The money invested by the shareholders for running the business is called shareholder equity. It contains the money invested while starting the business and the retained earning which is the profit earned by the company and reinvested in the business. The equity of the company helps in understanding if the business is financed by the owners or the company has taken a debt to finance its business. If the debt taken by the company is low, then the risk of the company is lower as the company will have to not have to pay back to the investors immediately and can reinvest the money earned for the growth of the company. If the debt taken by the company is high then the risk of the company is higher as the company will have to pay back to the debtors at the end of the period. The Balance Sheet of the company for 2016 is prepared using the adjusted trial balance Assets Current Assets Bank 83900 Prepayment 13000 Trade receivables 205000 Inventory 50000 Non Current Assets Motor vehicles at cost 33750 Equipment at cost 270300 Total Assets 655950 Liabilities Long term loan 90000 Trade payables 86000 Accrual 22600 Provision for Bad Debts 2000 Provision for depn motor vehicles 6000 Provision for depreciation equipment 45000 Equity Share Capital 100000 Share Premium 200000 Net income 16350 Retained Earnings 88000 Liabilities + Equity 655950 2: For the ratio analysis, the two UKs main airline companies I have chosen from the list provided are British Airways and Ryan Air. The annual reports of the two companies (British Airways and Ryan Air) were downloaded for the year 2013, 2014, and 2015. Profitability ratios: The main aim of the business is to generate profits for its shareholders. The capability of a company to make profits is called Profitability of the company. The income earned by the company is through the sales of goods and services by the business. The company has to incur expense to generate this revenue in the business. Profits are calculated by removing all the expenses incurred in the business from the revenue earned. The profitability ratios help in finding if the business of the company is able to earn profits. The profitability ratios calculated for the two companies are Net Profit Margin and Return on Assets Net Profit Margin: The Net Profit Margin is defined as the profit earned by the company per unit of sales revenue earned. It is given by Net Profit/ Sales. If the company is able to generate more profits per unit of sales then the Net Profit Margin is higher. Thus the company will be able to pay for its expenses easily from the revenue earned. (Profit Margin Ratio) For the company Ryan Air, For the year 2013, The net profit = 569.3 M The total revenue from sales = 4884 M Thus Net Profit Margin = 569.3/ 4884 = 11.66 % For the year 2014, The net profit = 522.8 M The total revenue from sales = 5036.7 M Thus Net Profit Margin = 522.8/ 5036.7 = 10.38 % For the year 2015, The net profit = 866.7 M The total revenue from sales = 5654 M Thus Net Profit Margin = 866.7/ 5654 = 15.33 % The Profit Margin of Ryan Air has increased since 2013. Thus the company is performing well which is sign of growth of the company. For the company British Airways, For the year 2013, The net profit = 281 M The total revenue from sales = 11421 M Thus Net Profit Margin = 281/ 11421 = 2.46 % For the year 2014, The net profit = 702M The total revenue from sales = 11719 M Thus Net Profit Margin = 702/ 11719 = 5.99 % For the year 2015, The net profit = 2508 M The total revenue from sales = 11333 M Thus Net Profit Margin = 2508/ 11333 = 22.13 % The Profit Margin of British Airways has increased by more than 10 times since the year 2013. Thus the company is performing well which is sign of growth of the company. Return on Assets: Return on Assets is defined as the profit earned by the company for the investment in the assets. It is given by Net Profit/ Average Assets. If the Return on Assets is high then the company is able to utilize its assets efficiently. (Return on Assets Ratio - ROA) For the company Ryan Air, For the year 2013, Return on Assets = 569.3/ [(9001 + 8943)/ 2] = 6.35% For the year 2014, Return on Assets = 522.8/ [(8943 + 8812.1)/ 2] = 5.89% For the year 2015, Return on Assets = 866.7/ [(8812.1 + 12185.4)/ 2] = 8.26% The return on assets for Ryan Air has increased since the year 2013. Thus the company has used its assets efficiently. For the company British Airways, For the year 2013, Return on Assets = 281/ [(11136 + 11921)/ 2] = 2.44 % For the year 2014, Return on Assets = 702/ [(11921 + 13426)/ 2] = 5.54 % For the year 2015, Return on Assets = 2508/ [(13426 + 15376)/ 2] = 17.42 % The return on assets for British Airways has increased by more than 8 times since the year 2013. Thus the company has used its assets very efficiently. Liquidity Ratio: Liquidity Ratio of a company helps in determining if the company will be able to pay its short and long term debt using the current assets it has. The liquidity ratios calculated for the two companies are Current Ratio and Cash Ratio Current Ratio: The current ratio of a company is its ability to pay its current liabilities using the current assets owned by the company. It is calculated as current assets/ current liabilities. (Current Ratio) For the company Ryan Air, For the year 2013, Current Assets = 3763.6 M Current Liabilities = 1911.7 M Thus current ratio = 3763.6/ 1911.7 = 1.97 For the year 2014, Current Assets = 3444.3 M Current Liabilities = 2274.5 M Thus current ratio = 3444.3/ 2274.5 = 1.51 For the year 2015, Current Assets = 5742 M Current Liabilities = 3346 M Thus current ratio = 5742/ 3346 = 1.71 The current ratio for Ryan Air has decreased since the year 2013. Hence the company will not be able to cover its current debt as easily as before. For the company British Airways, For the year 2013, Current Assets = 2915 M Current Liabilities = 4627 M Thus current ratio = 2915/ 4627 = 0.63 For the year 2014, Current Assets = 3583 M Current Liabilities = 5502 M Thus current ratio = 3583/ 5508 = 0.65 For the year 2015, Current Assets = 3400 M Current Liabilities = 5700 M Thus current ratio = 3400/ 5700 = 0.59 The current ratio for British Airways has declined since the year 2013. Hence the company will not be able to cover its current debt as easily as before. Cash ratio: The cash ratio of a company is its ability to pay its current liabilities using the cash owned by the company. It is calculated as cash/ current liabilities. For the company Ryan Air, For the year 2013, Cash ratio = 1240.9/ 1911.7 = 0.65 For the year 2014, Cash ratio = 1730.1/ 2274.5 = 0.76 For the year 2015, Cash ratio = 1184.6/ 3346 = 0.35 The cash ratio for Ryan Air has decreased since the year 2013. Hence the company will not be able to cover its current debt as easily as before and the cash of the company has reduced significantly. For the company British Airways, In the year 2013, Cash ratio = 1850/ 4627 = 0.40 In the year 2014, Cash ratio = 2523/ 5502 = 0.45 In the year 2015, Cash ratio = 2047/ 5700 = 0.36 The cash ratio for British Airways has decreased since the year 2013. Hence the company will not be able to cover its current debt as easily as before. Efficiency ratios: The efficiency ratio helps in finding if the company can use its resources efficiently to generate profits. The two efficiency ratio calculated for the two companies are Total Assets Turnover ratio and Equity Turnover ratio. Total Assets Turnover ratio: It helps in finding how efficiently the company can use its assets to generate sales. It is given by the net sales/ Average total assets (Asset Turnover Ratio) For the company Ryan Air, For the year 2013, Total Assets turnover ratio = 4884/ [(9001 + 8943)/ 2] = 0.54 For the year 2014, Total Assets turnover ratio = 5036.7/ [(8943 + 8812.1)/ 2] = 0.57 For the year 2015, Total Assets turnover ratio = 5654/ [(8812.1 + 12185.4)/ 2] = 0.54 The Total Assets Turnover ratio for Ryan Air has not changed effectively since the year 2013. For the company British Airways, In the year 2013, Total Assets turnover ratio = 11421/ [(11136 + 11921)/ 2] = 0.99 In the year 2014, Total Assets turnover ratio = 11719/ [(11921 + 13426)/ 2] = 0.92 In the year 2015, Total Assets turnover ratio = 11333/ [(13426 + 15376)/ 2] = 0.79 The Total Assets turnover ratio for British Airways has decreased since the year 2013. Equity turnover ratio: It helps in finding how efficiently the company can use investment by owners to generate sales. It is given by the net sales/ Average equity. For the company Ryan Air, For the year 2013, Equity turnover ratio = 4884/ [(3306.7 + 3272.6)/ 2] = 1.48 For the year 2014, Equity turnover ratio = 5036.7/ [(3272.6 + 3285.8)/ 2] = 1.54 For the year 2015, Equity turnover ratio = 5654/ [(3285.8 + 4035.1)/ 2] = 1.54 The Equity turnover ratio for Ryan Air has increased since the year 2013. For the company British Airways, For the year 2013, Equity turnover ratio = 11421/ [(2255 + 868)/ 2] = 7.31 For the year 2014, Total Assets turnover ratio = 11719/ [(2255 +1900)/ 2] = 5.64 For the year 2015, Total Assets turnover ratio = 11333/ [(1900+ 4398)/ 2] = 3.59 The Equity turnover ratio for British Airways has decreased by since 2013. Thus from the above analysis it can be concluded that the performance of British airways is better than Ryan air. References Averkamp, H. (n.d.). What is a trial balance? Retrieved on August 6, 2016 from https://www.accountingcoach.com/blog/what-is-a-trial-balance Investopedia. (2013). Income Statement. Retrieved on August 6, 2016 from https://www.investopedia.com/terms/i/incomestatement.asp Investopedia. (n.d.). Balance Sheet. Retrieved from https://www.investopedia.com/terms/b/balancesheet.asp White Claire. (2015). Why are efficiency ratios important to investors. Retrieved from https://www.investopedia.com/ask/answers/032615/why-are-efficiency-ratios-important-investors.asp Chand, S. (2015). Ratio Analysis: Meaning, Classification and Limitation of Ratio Analysis. Retrieved 30 July, 2016, from https://www.yourarticlelibrary.com/financial-management/ratio-analysis-meaning-classification-and-limitation-of-ratio-analysis/29418 Investopedia. (n.d.). Profitability Ratios. Retrieved from https://www.investopedia.com/terms/p/profitabilityratios.asp MyAccountingCourse. (n.d.). Efficiency Ratios. Retrieved from https://www.myaccountingcourse.com/financial-ratios/efficiency-ratios MyAccountingCourse. (n.d.). Liquidity Ratios. Retrieved from https://www.myaccountingcourse.com/financial-ratios/liquidity-ratios