![InstructionsFinSAS Version 2008010211FinSAS: Financial
Statement Analysis SpreadsheetbyDr. Donald V.
Saftner[email protected]To AccompanyFinancial Reporting and
Analysis:Using Financial Accounting Information11/eby Dr.
Charles GibsonCopyright © 2009 Cengage LearningAll rights
reservedFinSAS: Financial Statement Analysis Spreadsheet
allows users to input the reported data from the financial
statements, notes, and other sources. FinSAS then computes the
ratios found in Financial Reporting and Analysis: Using
Financial Accounting Information 11/e. Using this tool, you can
spend more time analyzing the statements and less time
crunching the numbers. In addition to the ratios, both a vertical
and horizontal analysis are performed.Instructions:Note the
sheet tabs below. The following instructions use the names of
those tabs as section headings. Click on a tab to see that sheet
after reading the instructions below.InputOn the Input sheet,
enter values into all appropriate cells (i.e., those with blue
font). The figures in black font are calculated based on your
input. By entering the Company Name, Analyst Name(s), and
Most Recent Year Available in the first three input cells, those
items will appear on all subsequent output sheets. They make it
easy to identify any printouts you make.The next two input cells
(Years Available for Income Statement and Balance Sheet) are
particularly important to the functioning of the model.
Changing these numbers (while keeping them within the range
one through five) changes the number of columns of data that
are available on the Input sheet and all subsequent output
sheets. In a single annual report/10K, there are often three
years of income statements and two years of balance sheets.
The annual report/10K you are using may have more and/or you
may want to use multiple years’ worth of annual report/10Ks to
increase the amount of data available to analyze. The maximum
years that FinSAS can accept is five years.Fill in all remaining
input cells for which you can find data. There are many
different names for the same account. You must translate the](https://image.slidesharecdn.com/step1afteryouhaveloggedinclickongettingstarted-221121183632-f2fc95c1/85/Step-1-After-you-have-logged-in-click-on-getting-started-docx-2-320.jpg)
![on the previous sheet. Note that the Ratios - avg. sheet is
theoretically superior in that averages for balance sheet
information (point in time) is compared to income statement or
cash flow statements (period of time).DocumentationThe
Documentation sheet provides you the definitions of the ratios
using the row labels of the Input sheet or other ratio results.
&CCopyright © 2009 Cengage Learning
[email protected]
Input12345FinSAS Version
2008010211InputCompany:Company name hereAnalyst:Your
name(s) hereMost Recent Year Available:2008Years Available
for:Income Statement (1-5)5Balance Sheet (1-
5)5======INCOME STATEMENT20082007200620052004-----
-Net Sales00000Less: Cost of Goods Sold00000-----Gross
Profit00000Other Operating Revenue00000Less: Operating
Expenses00000-----Operating Income00000Less: Interest
Expense00000(no capitalized interest)Other Income
(Expenses)00000Unusual or Infreq. Item;Gain
(Loss)00000Equity in Earnings of Assoc.;Profit (Loss)00000----
-Income before Taxes00000Less:Taxes Related to
Operations00000-----N.I. before Min. Ern.00000Minority Share
of Earnings (Loss)00000-----N.I. before Nonrecurring
Items00000Oper. of Discontinued Segment;Income
(Loss)00000Disposal of Discont. Segment;Gain
(Loss)00000Extraordinary Item;Gain (Loss)00000Cum. Effect
of Acct Change;Gain (Loss)00000-----Net Income
(Loss)00000======BALANCE
SHEET20082007200620052004------ASSETSCurrent
Assets:Cash00000Marketable Securities00000Gross
Receivables00000Less: Allowance for Bad Debts00000Net
Trade Receivables00000Inventories00000Prepaid
Expenses00000Other Current Assets00000-----Total Current
Assets00000Long-Term Assets:Net Tangible (Fixed) Assets
(other than construction in progress)00000Construction in
Progress00000Intangible Assets00000Investments00000Other
Nonoperating Assets00000Other Operating Assets00000-----](https://image.slidesharecdn.com/step1afteryouhaveloggedinclickongettingstarted-221121183632-f2fc95c1/85/Step-1-After-you-have-logged-in-click-on-getting-started-docx-5-320.jpg)
Step 1 After you have logged in, click on getting started”.docx
- 1. Step 1: After you have logged in, click on “getting started” Step 2: Watch the introductory video for a detailed description of how to play the game. Step 3: Click on the “Examination Guide” which will introduce you to your Comp-XM® business Step 4: Click on and read each heading to learn about the simulation, board queries, scoring, getting setup, and decisions Step 5: Next, Click on Exam Dashboard to begin Round 1 Step 6: Click ‘Make Decisions’ to begin Step 6: Finally, review this youtube video on how to do the rounds. (URL http://www.youtube.com/watch?v=yjKTzfaR3No )
- 2. InstructionsFinSAS Version 2008010211FinSAS: Financial Statement Analysis SpreadsheetbyDr. Donald V. Saftner[email protected]To AccompanyFinancial Reporting and Analysis:Using Financial Accounting Information11/eby Dr. Charles GibsonCopyright © 2009 Cengage LearningAll rights reservedFinSAS: Financial Statement Analysis Spreadsheet allows users to input the reported data from the financial statements, notes, and other sources. FinSAS then computes the ratios found in Financial Reporting and Analysis: Using Financial Accounting Information 11/e. Using this tool, you can spend more time analyzing the statements and less time crunching the numbers. In addition to the ratios, both a vertical and horizontal analysis are performed.Instructions:Note the sheet tabs below. The following instructions use the names of those tabs as section headings. Click on a tab to see that sheet after reading the instructions below.InputOn the Input sheet, enter values into all appropriate cells (i.e., those with blue font). The figures in black font are calculated based on your input. By entering the Company Name, Analyst Name(s), and Most Recent Year Available in the first three input cells, those items will appear on all subsequent output sheets. They make it easy to identify any printouts you make.The next two input cells (Years Available for Income Statement and Balance Sheet) are particularly important to the functioning of the model. Changing these numbers (while keeping them within the range one through five) changes the number of columns of data that are available on the Input sheet and all subsequent output sheets. In a single annual report/10K, there are often three years of income statements and two years of balance sheets. The annual report/10K you are using may have more and/or you may want to use multiple years’ worth of annual report/10Ks to increase the amount of data available to analyze. The maximum years that FinSAS can accept is five years.Fill in all remaining input cells for which you can find data. There are many different names for the same account. You must translate the
- 3. terminology used by the company to the generic terms used in FinSAS. When the detail is not needed, FinSAS requests a summary figure. For instance, on the published income statement there may be several operating expenses (e.g., wages, utilities, rent), but FinSAS only needs the sum of those, which would be entered as Operating Expenses. Be sure to read the footnotes to the financial statements and the comparative data section. Those sources include some of the information you need to complete the Input sheet. Also be sure to match key subtotals (e.g. the FinSAS total current asset should be same as the figure on the balance sheet even though the detail lines may be different.)Be consistent in ignoring a certain number of decimal places. Many financial statements have "in thousands, except par values," "millions except share and per share amounts," or similar statements. When entering data into FinSAS, it is usually best to follow the same convention as the financial statements in choosing the number of decimal places to assume have been removed. An exception is the second statement above. Only "per share" data should be entered as dollars with no decimal places removed. Account balances and total share information should consistently have the same number of decimal places removed. If the share and account balances have a different number of decimal places removed then ratios such as "book value per share" and "operating cash flow per share" will be inaccurate.Source of InputThis is the place to document where you found the information you entered on the previous sheet. This can be very useful for you and for anyone who reviews your work. For instance if most of it came from the company's annual report/10K, then state that at the top. Individual lines of input in FinSAS might be the sum of a few lines in the published financial statements. Indicate on this sheet how you determined the FinSAS inputs from the statements. For some of the inputs, you may have used information from the footnotes or comparative information section. Indicate that information on this sheet and include page numbers wherever possible. Of course, other sources of
- 4. information should be cited.Vertical AnalysisAfter you insert your data, you can see the result of the vertical analysis. It compares each amount on the income statement and balance sheet with a base amount (net sales on the income statement and total assets on the balance sheet) selected from the same year.Horizontal AnalysisAfter you insert your data, you can see the result of the horizontal analysis. It compares each amount on the income statement and balance sheet with the same amount for the oldest year available.Ratios – avg.After you insert your data, you can see the result of the ratio analysis. For the ‘Ratio – Average’, the average of beginning of year values and end of year values is used when appropriate. Note that if you only have two years of balance sheet information, then for those ratios that use the average of two years of balance sheet information, only one year's worth of ratios can be calculated. Since it is desirable to compare the ratios across time to determine possible trends, a solution to only having one year's worth of ratios should be sought. Some possible solutions are to find additional years' worth of data and/or use the Ratio - end. sheet.Ratios with a negative cash flow or negative profit measure in the numerator will display #N/A, which means not available or not applicable. This makes it less likely that invalid conclusions will be made during your analysis.You may want to determine how a certain ratio is calculated. You may do this in one of two ways. If you select the cell in which the ratio appears, then the formula for that cell appears near the top of the screen. You will then have to determine what accounts the cell refers to by looking at the Input screen. Alternatively, you can refer to the Documentation screen for the definition.Ratios – end.For the ‘Ratio – End’, the end of year values are used instead of the average values. The ‘*’ marks indicate the ratios for which the end of year values are used whereas the averages are used on the previous sheet.For the Ratios - end. sheet, the end of year values are used instead of the average values. The ‘*’ marks indicate the ratios for which the end of year values are used whereas the averages are used
- 5. on the previous sheet. Note that the Ratios - avg. sheet is theoretically superior in that averages for balance sheet information (point in time) is compared to income statement or cash flow statements (period of time).DocumentationThe Documentation sheet provides you the definitions of the ratios using the row labels of the Input sheet or other ratio results. &CCopyright © 2009 Cengage Learning [email protected] Input12345FinSAS Version 2008010211InputCompany:Company name hereAnalyst:Your name(s) hereMost Recent Year Available:2008Years Available for:Income Statement (1-5)5Balance Sheet (1- 5)5======INCOME STATEMENT20082007200620052004----- -Net Sales00000Less: Cost of Goods Sold00000-----Gross Profit00000Other Operating Revenue00000Less: Operating Expenses00000-----Operating Income00000Less: Interest Expense00000(no capitalized interest)Other Income (Expenses)00000Unusual or Infreq. Item;Gain (Loss)00000Equity in Earnings of Assoc.;Profit (Loss)00000---- -Income before Taxes00000Less:Taxes Related to Operations00000-----N.I. before Min. Ern.00000Minority Share of Earnings (Loss)00000-----N.I. before Nonrecurring Items00000Oper. of Discontinued Segment;Income (Loss)00000Disposal of Discont. Segment;Gain (Loss)00000Extraordinary Item;Gain (Loss)00000Cum. Effect of Acct Change;Gain (Loss)00000-----Net Income (Loss)00000======BALANCE SHEET20082007200620052004------ASSETSCurrent Assets:Cash00000Marketable Securities00000Gross Receivables00000Less: Allowance for Bad Debts00000Net Trade Receivables00000Inventories00000Prepaid Expenses00000Other Current Assets00000-----Total Current Assets00000Long-Term Assets:Net Tangible (Fixed) Assets (other than construction in progress)00000Construction in Progress00000Intangible Assets00000Investments00000Other Nonoperating Assets00000Other Operating Assets00000-----
- 6. Total Long-Term Assets00000Total Assets00000LIABILITIES AND EQUITYCurrent Liabilities:Accounts Payable00000Short Term Loans00000Current Maturity of L.t. Debt00000Other Current Liabilities00000-----Total Current Liabilities00000Long-Term Liabilities:Long-term Debt00000Reserves00000Deferred Liabilities00000Minority Interest00000Redeemable Preferred00000Other Long-term Liabilities00000-----Total Long-term Liabilities00000Total Liabilities00000Shareholders' Equity:Preferred Equity00000Common Equity-incl. Ret. Ern.00000-----Total Equity00000Total Liabilities and Equity00000======OTHER DATA20082007200620052004------Capitalized Interest0.00.00.00.00.0Interest Portion of Rentals0.00.00.00.00.0Liquidation Value of Pref. Stock0.00.00.00.00.0Dividends on Redeemable Pref.0.00.00.00.00.0Dividends on Nonredeemable Pref.0.00.00.00.00.0Dividends per Common Share0.0000.0000.0000.0000.000Total Cash Dividends0.00.00.00.00.0Dil. Earn. per Sh. before Nonrec. Items0.0000.0000.0000.0000.000Market Price per Common Share0.0000.0000.0000.0000.000Tax Rate (0- 1)0.0000.0000.0000.0000.000Common Shares Outstanding0.00.00.00.00.0Diluted Weighted Average Common Shares0.00.00.00.00.0Cash Flow from Operations0.00.00.00.00.0Options:Option expense0.00.00.00.00.0Net income bef. nonrec. items not incl. opt. exp.0.00.00.00.00.0 Source of InputFinSAS Version 2008010211Source of InputCompany:Company name hereAnalyst:Your name(s) hereMost Recent Year Available:2008Years Available for:Income Statement (1-5)5Balance Sheet (1-5)5=INCOME STATEMENT-Net SalesLess: Cost of Goods SoldGross ProfitOther Operating RevenueLess: Operating ExpensesOperating IncomeLess: Interest Expense(no capitalized interest)Other Income (Expenses)Unusual or Infreq. Item;Gain (Loss)Equity in Earnings of Assoc.;Profit (Loss)Income before
- 7. TaxesLess:Taxes Related to OperationsN.I. before Min. Ern.Minority Share of Earnings (Loss)N.I. before Nonrecurring ItemsOper. of Discontinued Segment;Income (Loss)Disposal of Discont. Segment;Gain (Loss)Extraordinary Item;Gain (Loss)Cum. Effect of Acct Change;Gain (Loss)Net Income (Loss)=BALANCE SHEET-ASSETSCurrent Assets:CashMarketable SecuritiesGross ReceivablesLess: Allowance for Bad DebtsNet Trade ReceivablesInventoriesPrepaid ExpensesOther Current AssetsTotal Current AssetsLong-Term Assets:Net Tangible (Fixed) Assets (other than construction in progress)Construction in ProgressIntangible AssetsInvestmentsOther Nonoperating AssetsOther Operating AssetsTotal Long-Term AssetsTotal AssetsLIABILITIES AND EQUITYCurrent Liabilities:Accounts PayableShort Term LoansCurrent Maturity of L.t. DebtOther Current LiabilitiesTotal Current LiabilitiesLong-Term Liabilities:Long-term DebtReservesDeferred LiabilitiesMinority InterestRedeemable PreferredOther Long-term LiabilitiesTotal Long-term LiabilitiesTotal LiabilitiesShareholders' Equity:Preferred EquityCommon Equity-incl. Ret. Ern.Total EquityTotal Liabilities and Equity=OTHER DATA-Capitalized InterestInterest Portion of RentalsLiquidation Value of Pref. StockDividends on Redeemable Pref.Dividends on Nonredeemable Pref.Dividends per Common ShareTotal Cash DividendsDil. Earn. per Sh. before nonrec. itemsMarket Price per Common ShareTax Rate (0-1)Common Shares OutstandingDiluted Weighted Average Common SharesCash Flow from OperationsOptions:Option expenseNet income bef. nonrec. items not incl. opt. exp. Vertical Analysis1.002.003.004.005.00FinSAS Version 2008010211Vertical AnalysisCompany:Company name hereAnalyst:Your name(s) hereMost Recent Year Available:2008Years Available for:Income Statement (1- 5)5Balance Sheet (1-5)5======INCOME STATEMENT20082007200620052004------------------------------
- 8. ---------------------Net Sales0.00%0.00%0.00%0.00%0.00%Less: Cost of Goods Sold0.00%0.00%0.00%0.00%0.00%---------------- ----------------------------------Gross Profit0.00%0.00%0.00%0.00%0.00%Other Operating Revenue0.00%0.00%0.00%0.00%0.00%Less: Operating Expenses0.00%0.00%0.00%0.00%0.00%---------------------------- ----------------------Operating Income0.00%0.00%0.00%0.00%0.00%Less: Interest Expense0.00%0.00%0.00%0.00%0.00%(no capitalized interest)Other Income (Expenses)0.00%0.00%0.00%0.00%0.00%Unusual or Infreq. Item;Gain (Loss)0.00%0.00%0.00%0.00%0.00%Equity in Earnings of Assoc.;Profit (Loss)0.00%0.00%0.00%0.00%0.00%- -------------------------------------------------Income before Taxes0.00%0.00%0.00%0.00%0.00%Less:Taxes Related to Operations0.00%0.00%0.00%0.00%0.00%-------------------------- ------------------------N.I. before Min. Ern.0.00%0.00%0.00%0.00%0.00%Minority Share of Earnings (Loss)0.00%0.00%0.00%0.00%0.00%------------------------------- -------------------N.I. before Nonrecurring Items0.00%0.00%0.00%0.00%0.00%Oper. of Discontinued Segment;Income (Loss)0.00%0.00%0.00%0.00%0.00%Disposal of Discont. Segment;Gain (Loss)0.00%0.00%0.00%0.00%0.00%Extraordinary Item;Gain (Loss)0.00%0.00%0.00%0.00%0.00%Cum. Effect of Acct Change;Gain (Loss)0.00%0.00%0.00%0.00%0.00%--------------- -----------------------------------Net Income (Loss)0.00%0.00%0.00%0.00%0.00%======BALANCE SHEET20082007200620052004-------------------------------------- --------ASSETSCurrent Assets:Cash0.00%0.00%0.00%0.00%0.00%Marketable Securities0.00%0.00%0.00%0.00%0.00%Gross Receivables0.00%0.00%0.00%0.00%0.00%Less: Allowance for Bad Debts0.00%0.00%0.00%0.00%0.00%Net Trade Receivables0.00%0.00%0.00%0.00%0.00%Inventories0.00%0.0 0%0.00%0.00%0.00%Prepaid
- 9. Expenses0.00%0.00%0.00%0.00%0.00%Other Current Assets0.00%0.00%0.00%0.00%0.00%------------------------------- --------------Total Current Assets0.00%0.00%0.00%0.00%0.00%Long-Term Assets:Net Tangible (Fixed) Assets (other than construction in progress)0.00%0.00%0.00%0.00%0.00%Construction in Progress0.00%0.00%0.00%0.00%0.00%Intangible Assets0.00%0.00%0.00%0.00%0.00%Investments0.00%0.00%0. 00%0.00%0.00%Other Nonoperating Assets0.00%0.00%0.00%0.00%0.00%Other Operating Assets0.00%0.00%0.00%0.00%0.00%------------------------------- --------------Total Long-Term Assets0.00%0.00%0.00%0.00%0.00%Total Assets0.00%0.00%0.00%0.00%0.00%LIABILITIES AND EQUITYCurrent Liabilities:Accounts Payable0.00%0.00%0.00%0.00%0.00%Short Term Loans0.00%0.00%0.00%0.00%0.00%Current Maturity of L.t. Debt0.00%0.00%0.00%0.00%0.00%Other Current Liabilities0.00%0.00%0.00%0.00%0.00%-------------------------- -------------------Total Current Liabilities0.00%0.00%0.00%0.00%0.00%Long-Term Liabilities:Long-term Debt0.00%0.00%0.00%0.00%0.00%Reserves0.00%0.00%0.00% 0.00%0.00%Deferred Liabilities0.00%0.00%0.00%0.00%0.00%Minority Interest0.00%0.00%0.00%0.00%0.00%Redeemable Preferred0.00%0.00%0.00%0.00%0.00%Other Long-term Liabilities0.00%0.00%0.00%0.00%0.00%-------------------------- -------------------Total Long-term Liabilities0.00%0.00%0.00%0.00%0.00%Total Liabilities0.00%0.00%0.00%0.00%0.00%Shareholders' Equity:Preferred Equity0.00%0.00%0.00%0.00%0.00%Common Equity-incl. Ret. Ern.0.00%0.00%0.00%0.00%0.00%------------- --------------------------------Total Equity0.00%0.00%0.00%0.00%0.00%Total Liabilities and Equity0.00%0.00%0.00%0.00%0.00%======
- 10. Horizontal Analysis1.002.003.004.005.00FinSAS Version 2008010211Horizontal AnalysisCompany:Company name hereAnalyst:Your name(s) hereMost Recent Year Available:2008Years Available for:Income Statement (1- 5)5Balance Sheet (1-5)5======INCOME STATEMENT20082007200620052004------------------------------ ---------------------Net Sales0.00%0.00%0.00%0.00%0.00%0.000.00Less: Cost of Goods Sold0.00%0.00%0.00%0.00%0.00%0.000.00--------------- -------------------------------------Gross Profit0.00%0.00%0.00%0.00%0.00%0.000.000.000.00Other Operating Revenue0.00%0.00%0.00%0.00%0.00%0.000.00Less: Operating Expenses0.00%0.00%0.00%0.00%0.00%0.000.00----- -----------------------------------------------Operating Income0.00%0.00%0.00%0.00%0.00%0.000.00Less: Interest Expense0.00%0.00%0.00%0.00%0.00%0.000.00(no capitalized interest)0.000.00Other Income (Expenses)0.00%0.00%0.00%0.00%0.00%0.000.00Unusual or Infreq. Item;0.000.00Gain (Loss)0.00%0.00%0.00%0.00%0.00%0.000.00Equity in Earnings of Assoc.;0.000.00Profit (Loss)0.00%0.00%0.00%0.00%0.00%0.000.00--------------------- -------------------------------Income before Taxes0.00%0.00%0.00%0.00%0.00%0.000.000.000.00Less:Taxe s Related to Operations0.00%0.00%0.00%0.00%0.00%0.000.00- ---------------------------------------------------N.I. before Min. Ern.0.00%0.00%0.00%0.00%0.00%0.000.000.000.00Minority Share of Earnings (Loss)0.00%0.00%0.00%0.00%0.00%0.000.00--------------------- -------------------------------N.I. before Nonrecurring Items0.00%0.00%0.00%0.00%0.00%0.000.000.000.00Oper. of Discontinued Segment;0.000.00Income (Loss)0.00%0.00%0.00%0.00%0.00%0.000.00Disposal of Discont. Segment;0.000.00Gain (Loss)0.00%0.00%0.00%0.00%0.00%0.000.00Extraordinary Item;0.000.00Gain
- 11. (Loss)0.00%0.00%0.00%0.00%0.00%0.000.00Cum. Effect of Acct Change;0.000.00Gain (Loss)0.00%0.00%0.00%0.00%0.00%0.000.00--------------------- -------------------------------Net Income (Loss)0.00%0.00%0.00%0.00%0.00%0.000.00======BALANC E SHEET20082007200620052004----------------------------------- ----------------ASSETSCurrent Assets:Cash0.00%0.00%0.00%0.00%0.00%0.000.00Marketable Securities0.00%0.00%0.00%0.00%0.00%0.000.00Gross Receivables0.00%0.00%0.00%0.00%0.00%0.000.00Less: Allowance for Bad Debts0.00%0.00%0.00%0.00%0.00%0.000.00Net Trade Receivables0.00%0.00%0.00%0.00%0.00%0.000.00Inventories0 .00%0.00%0.00%0.00%0.00%0.000.00Prepaid Expenses0.00%0.00%0.00%0.00%0.00%0.000.00Other Current Assets0.00%0.00%0.00%0.00%0.00%0.000.00--------------------- -------------------------------Total Current Assets0.00%0.00%0.00%0.00%0.00%0.000.00Long-Term Assets:0.000.00Net Tangible (Fixed) Assets (other than construction in progress)0.00%0.00%0.00%0.00%0.00%0.000.00Construction in Progress0.00%0.00%0.00%0.00%0.00%0.000.00Intangible Assets0.00%0.00%0.00%0.00%0.00%0.000.00Investments0.00 %0.00%0.00%0.00%0.00%0.000.00Other Nonoperating Assets0.00%0.00%0.00%0.00%0.00%0.000.00Other Operating Assets0.00%0.00%0.00%0.00%0.00%0.000.00--------------------- -------------------------------Total Long-Term Assets0.00%0.00%0.00%0.00%0.00%0.000.00Total Assets0.00%0.00%0.00%0.00%0.00%0.000.00LIABILITIES AND EQUITY0.000.00Current Liabilities:0.000.00Accounts Payable0.00%0.00%0.00%0.00%0.00%0.000.00Short Term Loans0.00%0.00%0.00%0.00%0.00%0.000.00Current Maturity of L.t. Debt0.00%0.00%0.00%0.00%0.00%0.000.00Other Current Liabilities0.00%0.00%0.00%0.00%0.00%0.000.00------- ---------------------------------------------Total Current Liabilities0.00%0.00%0.00%0.00%0.00%0.000.00Long-Term
- 12. Liabilities:0.000.00Long-term Debt0.00%0.00%0.00%0.00%0.00%0.000.00Reserves0.00%0.00 %0.00%0.00%0.00%0.000.00Deferred Liabilities0.00%0.00%0.00%0.00%0.00%0.000.00Minority Interest0.00%0.00%0.00%0.00%0.00%0.000.00Redeemable Preferred0.00%0.00%0.00%0.00%0.00%0.000.00Other Long- term Liabilities0.00%0.00%0.00%0.00%0.00%0.000.00---------- ------------------------------------------Total Long-term Liabilities0.00%0.00%0.00%0.00%0.00%0.000.00Total Liabilities0.00%0.00%0.00%0.00%0.00%0.000.00Shareholders' Equity:0.000.00Preferred Equity0.00%0.00%0.00%0.00%0.00%0.000.00Common Equity- incl. Ret. Ern.0.00%0.00%0.00%0.00%0.00%0.000.00------------ ----------------------------------------Total Equity0.00%0.00%0.00%0.00%0.00%0.000.00Total Liabilities and Equity0.00%0.00%0.00%0.00%0.00%0.000.00======== Ratios - avg.1.002.003.004.005.00FinSAS Version 2008010211Ratios - averageCompany:Company name hereAnalyst:Your name(s) hereMost Recent Year Available:2008Years Available for:Income Statement (1- 5)5Balance Sheet (1-5)5Minimum Years5Minimum Years (BS-1)4Maximum Years5------ LIQUIDITY20082007200620052004------Days' Sales in Receivables0.000.000.000.000.00Accounts Receivable Turnover0.000.000.000.000.00A/R Turnover in Days0.000.000.000.000.00Days' Sales in Inventory0.000.000.000.000.00Inventory Turnover0.000.000.000.000.00Inventory Turnover in Days0.000.000.000.000.00Operating Cycle0.000.000.000.000.00Working Capital- 0- 0- 0- 0- 0Current Ratio- 0- 0- 0- 0- 0Acid Test- 0- 0- 0- 0- 0Cash Ratio- 0- 0- 0- 0- 0Sales to Working Capital0.000.000.000.000.00Cash Flow/Cur. Mat. of Debt & NP- 0- 0- 0- 0- 0------LONG-TERM DEBT-PAYING ABILITY20082007200620052004------Times Interest Earned0.000.000.000.000.00Fixed Charge Coverage0.000.000.000.000.00Debt
- 13. Ratio0.00%0.00%0.00%0.00%0.00%Debt/Equity0.00%0.00%0.0 0%0.00%0.00%Debt to Tangible Net Worth0.00%0.00%0.00%0.00%0.00%Cash Flow/Total Debt0.00%0.00%0.00%0.00%0.00%------ PROFITABILITY20082007200620052004------Net Profit Margin0.00%0.00%0.00%0.00%0.00%Total Asset Turnover0.000.000.000.000.00Return on Assets0.00%0.00%0.00%0.00%0.00%Operating Income Margin0.00%0.00%0.00%0.00%0.00%Operating Asset Turnover0.000.000.000.000.00Return on Operating Assets0.00%0.00%0.00%0.00%0.00%Sales to Fixed Assets0.000.000.000.000.00Return on Investment0.00%0.00%0.00%0.00%0.00%Return on Total Equity0.00%0.00%0.00%0.00%0.00%Return on Common Equity0.00%0.00%0.00%0.00%0.00%Gross Profit Margin0.00%0.00%0.00%0.00%0.00%------INVESTOR ANALYSIS20082007200620052004------Degree of Financial Leverage0.000.000.000.000.00Earnings per Share0.000.000.000.000.00Price/Earnings Ratio0.000.000.000.000.00Percentage of Earnings Retained0.00%0.00%0.00%0.00%0.00%Dividend Payout0.00%0.00%0.00%0.00%0.00%Dividend Yield0.00%0.00%0.00%0.00%0.00%Book Value per Share- 0- 0- 0- 0- 0Materiality of Options0.00%0.00%0.00%0.00%0.00%Oper. Cash Flow per Share0.000.000.000.000.00Oper. Cash Flow/Cash Dividends0.000.000.000.000.00Year-end Market Price0.000.000.000.000.00====== Ratios - end.1.002.003.004.005.00FinSAS Version 2008010211Ratios - endingCompany:Company name hereAnalyst:Your name(s) hereMost Recent Year Available:2008Years Available for:Income Statement (1- 5)5Balance Sheet (1-5)5Minimum Years5Minimum Years (BS-1)4Maximum Years5* EOY values instead of averages------ LIQUIDITY20082007200620052004------Days' Sales in Receivables0.000.000.000.000.00* Accounts Receivable
- 14. Turnover0.000.000.000.000.00* A/R Turnover in Days0.000.000.000.000.00Days' Sales in Inventory0.000.000.000.000.00* Inventory Turnover0.000.000.000.000.00* Inventory Turnover in Days0.000.000.000.000.00* Operating Cycle0.000.000.000.000.00Working Capital- 0- 0- 0- 0- 0Current Ratio- 0- 0- 0- 0- 0Acid Test- 0- 0- 0- 0- 0Cash Ratio- 0- 0- 0- 0- 0* Sales to Working Capital0.000.000.000.000.00Cash Flow/Cur. Mat. of Debt & NP- 0- 0- 0- 0- 0------LONG-TERM DEBT-PAYING ABILITY20082007200620052004------Times Interest Earned- 0- 0- 0- 0- 0Fixed Charge Coverage- 0- 0- 0- 0- 0Debt Ratio0.00%0.00%0.00%0.00%0.00%Debt/Equity0.00%0.00%0.0 0%0.00%0.00%Debt to Tangible Net Worth0.00%0.00%0.00%0.00%0.00%Cash Flow/Total Debt0.00%0.00%0.00%0.00%0.00%------ PROFITABILITY20082007200620052004------Net Profit Margin0.00%0.00%0.00%0.00%0.00%* Total Asset Turnover0.000.000.000.000.00* Return on Assets0.00%0.00%0.00%0.00%0.00%Operating Income Margin0.00%0.00%0.00%0.00%0.00%* Operating Asset Turnover0.000.000.000.000.00* Return on Operating Assets0.00%0.00%0.00%0.00%0.00%* Sales to Fixed Assets0.000.000.000.000.00* Return on Investment0.00%0.00%0.00%0.00%0.00%* Return on Total Equity0.00%0.00%0.00%0.00%0.00%* Return on Common Equity0.00%0.00%0.00%0.00%0.00%Gross Profit Margin0.00%0.00%0.00%0.00%0.00%------INVESTOR ANALYSIS20082007200620052004------Degree of Financial Leverage- 0- 0- 0- 0- 0Earnings per Share- 0- 0- 0- 0- 0Price/Earnings Ratio- 0- 0- 0- 0- 0Percentage of Earnings Retained0.00%0.00%0.00%0.00%0.00%Dividend Payout0.00%0.00%0.00%0.00%0.00%Dividend Yield0.00%0.00%0.00%0.00%0.00%Book Value per Share- 0- 0- 0- 0- 0Materiality of Options0.00%0.00%0.00%0.00%0.00%Oper. Cash Flow per
- 15. Share- 0- 0- 0- 0- 0Oper. Cash Flow/Cash Dividends- 0- 0- 0- 0- 0Year-end Market Price0.000.000.000.000.00====== DocumentationFinSAS Version 2008010211Documentation- LIQUIDITY-Days' Sales in ReceivablesGross Receivables --------------------------- Net Sales / 365Accounts Receivable TurnoverNet Sales ---------------------------------------- Average (Gross Receivables)A/R Turnover in Days365 -------------------------------------------- Accounts Receivable TurnoverDays' Sales in InventoryEnding Inventory ----------------------------------- Cost of Goods Sold / 365Inventory TurnoverCost of Goods Sold --------------------------------- Average (Inventories)Inventory Turnover in Days365 -------------------------------------- Inventory TurnoverOperating CycleA/R Turnover in Days + Inventory Turnover in DaysWorking CapitalTotal Current Assets - Total Current LiabilitiesCurrent RatioTotal Current Assets ---------------------------------- Total Current LiabilitiesAcid TestCash + Marketable Securities + Net Trade Receivables --------------------------------------------------------------------------- ------ Total Current LiabilitiesCash RatioCash + Marketable Securities --------------------------------------------- Total Current LiabilitiesSales to Working CapitalNet Sales ------------------------------------ Average (Working Capital)Cash Flow/Cur. Mat. of Debt & NPCash Flow from Operations --------------------------------------------------------------------- Short Term Loans + Current Maturity of L.t. Debt-LONG- TERM DEBT-PAYING ABILITY-Times Interest EarnedIncome before Taxes + Interest Expense (no capitalized interest) -
- 16. Equity in Earnings of Assoc.; Profit (Loss) --------------------------------------------------------------------------- --------------------------------------------------------------------------- -- Interest Expense (no capitalized interest) + Capitalized InterestFixed Charge CoverageIncome before Taxes + Interest Expense (no capitalized interest) - Equity in Earnings of Assoc.; Profit (Loss) + Interest Portion of Rentals --------------------------------------------------------------------------- --------------------------------------------------------------------------- ----------------------------------- Interest Expense (no capitalized interest) + Capitalized Interest + Interest Portion of RentalsDebt RatioTotal Liabilities -------------------------------- Total AssetsDebt/EquityTotal Liabilities ------------------------ Total EquityDebt to Tangible Net WorthTotal Liabilities ----------------------------------------------- Total Equity - Intangible AssetsCash Flow/Total DebtCash Flow from Operations ---------------------------------------- Total Liabilities-PROFITABILITY-Net Profit MarginN.I. before Min. Ern. – Equity in Earnings of Assoc.; Profit (Loss) --------------------------------------------------------------------------- ------------ Net SalesTotal Asset TurnoverNet Sales --------------------------------- Average (Total Assets)Return on AssetsN.I. before Min. Ern. ----------------------------- Average (Total Assets)Operating Income MarginOperating Income ------------------------- Net SalesOperating Asset TurnoverNet Sales --------------------------------------------------------------------------- --------------------------------------------------------------------------- --------
- 17. Average (Total Assets - Construction in Progress - Intangible Assets - Investments - Other Nonoperating Assets)Return on Operating AssetsOperating Income --------------------------------------------------------------------------- --------------------------------------------------------------------------- -------- Average (Total Assets - Construction in Progress - Intangible Assets - Investments - Other Nonoperating Assets)Sales to Fixed AssetsNet Sales --------------------------------------------------------------------------- ---------------------------- Average (Net Tangible (Fixed) Assets (other than construction in progress))Return on InvestmentN.I. before Min. Ern. + {(1- Tax Rate) * Interest Expense (no capitalized interest)} --------------------------------------------------------------------------- --------------------- Average (Total Liabilities and Equity - Total Current Liabilities)Return on Total EquityN.I. before Nonrecurring Items - Dividends on Redeemable Pref. --------------------------------------------------------------------------- ------------- Average (Total Equity)Return on Common EquityN.I. before Nonrecurring Items - Dividends on Redeemable Pref. - Dividends on Nonredeemable Pref. --------------------------------------------------------------------------- ------------------------------------------------------------------ Average (Common Equity-incl. Ret. Ern.)Gross Profit MarginGross Profit -------------------- Net Sales-INVESTOR ANALYSIS-Degree of Financial LeverageIncome before Taxes + Interest Expense (no capitalized interest) - Equity in Earnings of Assoc.; Profit (Loss) --------------------------------------------------------------------------- --------------------------------------------------------------------------- Income before Taxes - Equity in Earnings of Assoc.; Profit
- 18. (Loss)Earnings per ShareDil. Earn. per Sh. before Nonrec. ItemsPrice/Earnings RatioMarket Price per Common Share ---------------------------------------------- Dil. Earn. per Sh. before Nonrec. ItemsPercentage of Earnings RetainedN.I. before Nonrecurring Items - Total Cash Dividends --------------------------------------------------------- N.I. before Nonrecurring ItemsDividend PayoutDividends per Common Share ---------------------------------------------- Dil. Earn. per Sh. before Nonrec. ItemsDividend YieldDividends per Common Share ---------------------------------------------- Market Price per Common ShareBook Value per ShareCommon Equity-incl. Ret. Ern. --------------------------------------------- Common Shares OutstandingMateriality of OptionsOption expense --------------------------------------------------------------- Net income bef. nonrec. items not incl. opt. exp.Oper. Cash Flow per ShareCash Flow from Operations - Dividends on Redeemable Pref. - Dividends on Nonredeemable Pref. --------------------------------------------------------------------------- ------------------------------------------------------------ Diluted Weighted Average Common SharesOper. Cash Flow/Cash DividendsCash Flow from Operations --------------------------------------- Total Cash DividendsYear-end Market PriceMarket Price per Common Share= &CCopyright © 2009 Cengage Learning Company selection - week – 1 Choose your term paper companies - two companies should be selected - and upload them via the Week 1 Dropbox titled "Company Selection." Your choices will be reviewed, and you will receive feedback and/or approval for your choices. Your selections must be publicly traded companies that compete with
- 19. one another, and I encourage you to select the company you work for, or wish to work for, in order to learn more about the company and the industry. Please ensure to include the ticker symbol with the company name to ensure that is publicly traded on one of the stock exchanges. Ticker symbols can be found on Yahoo! Finance. Course Project Horizontal Analysis – Week 2 Your outline should include (but is not limited to) the following. I. Choice of Companies and an Overview of Their Operations and Industry – Briefly outline what each company does and its industry. (5 points) II. Discussion of Current Issues Impacting Financial Statements – Include any relevant current event information, news that has affected financial statements, or world events that could impact the businesses. Research will have to be done on this. Some good sources of information include the most recent annual reports for each company (these can be found online for all publicly-traded companies; utilize the most current year-end annual reports available), Yahoo! Finance, the MSN Money website (this will provide current information on your company and some ratio information), and various business magazines. You can find the websites suggested under the Webliography tab in the course. (5 points) III. Relevant Ratios and Discussion – List what ratios you think are relevant to your companies and industry. Go to the Excel spreadsheet in Doc Sharing, review the ratios listed under the ratio tab, and pick what you think may be relevant. In one to two paragraphs, briefly discuss ten ratios you think may be important, and include ratios from the different categories. The ratios will be automatically calculated on the spreadsheet (please see section IV regarding this). (10 points) IV. Excel Spreadsheet FinSAS.xls – Manually input the financial data for your company under the input tab on the spreadsheet. You should insert numbers highlighted only in blue. These numbers should be found in the company's most
- 20. recent year-end annual reports (utilize the most year-end numbers; the spreadsheet has it starting at 2008, but change the year to 2009 and go five years historically from there to 2005), which can be obtained online under your company choice. Complete a separate spreadsheet for each company. Write that you completed the input for the spreadsheet for both companies and that the spreadsheet works. To check this, once you input the data in the input tab only, check the other tabs (ratio, vertical analysis) to ensure that you see the automated calculations. (20 points) V. Bibliography Written content and explanations can be completed in a separate (Word) document Course Project Vertical Analysis – Week 3 Your outline should include (but is not limited to) the following. I. Identification of Significant Asset Items, Liability Items, and Comments on Revenue and Profitability – List specific issues that you think affect these items. For example, economic factors, new product launches, and recent news developments can affect the items. Information can be obtained from annual report write-ups, financial notes, and the Internet. Briefly comment on how they affect financial numbers such as sales, profitability, costs, revenue, and so forth. (10 points) II. Relevant Ratios and Discussion of Your Findings of Vertical Analysis – Discuss briefly your vertical analysis findings, which are calculated automatically on the spreadsheet under the vertical analysis tab. Then, identify any key ratios that you think impact vertical analysis. (10 points) III. Excel Spreadsheet FinSAS.xlsx, Calculations of Vertical Ratio Analysis – This is a separate tab under the project spreadsheet and will calculate automatically, based on what you inserted in the input tab during Week 2. Ensure that it has calculated, and provide a brief analysis of your findings. The spreadsheet does not need to be submitted this week; just state that the spreadsheet is calculating correctly for each company.
- 21. (20 points) a. Bibliography b. Other back material, as needed: detailed tables, extended quotations from which shorter quotes are taken, and so forth. Written content and explanations can be completed in a separate (Word) document Course Project Final Ratio Analysis – Week 4 Your outline should include (but is not limited to) the following. I. Explaining Business Objectives and the Effect of the Objectives on the Ratios – Briefly highlight if the ratios meet the criteria of the business objectives. These objectives can be found in the annual reports under CEO comments and business summaries. (10 points) II. Identification of the Three Most Important Ratios for Your Companies and Support – Include why you think these ratios are the most important; what do they indicate about the financial health of each company? All ratios should be automatically calculated based on your input sheet from Week 2. (10 points) III. Computation of Relevant Ratios and Comparison to Industry Data – Verify that all ratios have been automatically calculated on the spreadsheet. On a separate document, list the ratios in comparison to the industry. Industry ratios can be found on various financial websites. The list should be in a table format, showing Company A, Company B, and then the industry ratio. (20 points) a. Bibliography b. Other back material, as needed: detailed tables, extended quotations from which shorter quotes are taken, and so forth. Written content and explanations can be completed in a separate (Word) document. General Expectations for your Final Course Project Submission – Week 7 This week, you should integrate the work you did on the group project over the past six weeks to create a Course Project, and submit it to the Dropbox under the Course Project tab by
- 22. Thursday of Week 7. A Word document, as well as the Excel document for each company, must be submitted. Also, submit a spreadsheet for each company completed. This week, you should also be sure that you answered the following: "Which company has better financial ratios and why? What do the ratios indicate? Compare the financial ratios for the latest year to the industry averages. Is each company above or below the industry averages? Compare for each ratio." All this information should come from your previous weeks' submissions. A suggestion is to include a section in the paper that responds to each of these questions stated. A paper clearly outlined with separate sections generally reads easier Don't forget to cite your sources properly, both parenthetically and in your bibliography or works cited. Assurance of Learning Assessment Examination Spring Semester 2013 * Comp-XM Exam Overview Each student becomes the CEO of their own “Andrews” Company. Students individually compete against three computer teams. Students take over a unique, dominant company with significant weaknesses. Comp-XM Exam Scenario: As CEO of your company, the Andrews Corporation, you will
- 23. make four sets of decisions. Your competition, Baldwin, Chester and Digby, are run by computer teams. All participants compete against a standard set of competitors, but each scenario is structured differently. As with your current simulation, the quality of your decisions directly affects the position of your company. Your individual simulation decision- making performance is evaluated using the Balanced Scorecard. * Introduction: The Comp-XM® examination is an integrated assessment tool. An extension of the Foundation® simulation that will allow students to individually demonstrate their business skills and acumen. There are two parts to the Comp-XM® Examination 1) A business simulation (similar to the current simulation) 2) A series of quizzes/questions presented called “Board Queries.” There are four unique Market Segments: Note: “Thrift” and “Core” (similar to Low-Tech). “Nano” and “Elite” (similar to High-Tech). Thrift Segment Buying Criteria Core Segment Buying Criteria Nano Segment Buying Criteria Elite Segment Buying Criteria
- 24. * The competitive landscape is not even: Each company begins from a different starting point. Each company has four existing products. Students compete against 3 computer-managed companies. * How is it graded? There are 2 grading components. * The Balanced Scorecard examines how well your company is managed. 4 Perspectives:Finance Internal Business Process Customer Learning and Growth #1: Balanced Scorecard (50%)
- 25. * #2: Board Queries (50%) Exam questions (Queries) from the Board of Directors. 5 question sets (Number of questions each round may vary). Questions are unique to your particular environment.Strategic AnalysisFinanceMarketingAccounting OperationsQuality InitiativesHR & TQMSituation Analysis Specific questions may cover: * Sample Question #1 of 3: Key: Analyze the “Inquirer” to answer. * Sample #2 of 3: How to answer this? * Sample #3 of 3: How to answer this?Question Value: 15 Pts Your Competitive Intelligence team reports that a wave of product liability lawsuits is likely to cause Digby to pull the
- 26. product Daft entirely off the market this year. Assume Digby scraps all capacity and inventory this round, completely writing off those assets and escrowing the proceeds to a settlement fund. Assume these lawsuits will have no effect on any other products of Digby or other companies. Question: Without Digby's product Daft, how much can the industry currently produce in the Core segment? Consider only products primarily in the Core segment last year. Ignore current inventories. Figures are in thousands (000). Step 1: Per the Production Report (FT), find the products that exist in the “Core” Segment and the production capacity available for each of these products. Step 2: Combine all potential production for the Core segment. Note: Be sure to consider that existing capacity can be used to produce *double* the amount of product (due to second shift potential). * Prep Work Round 1 Round 2 Round 3 Round 4 Final Half an Hour Decision rounds take about 30-75 minutes per round. There are 4 decision rounds. There are 5 rounds of “Board Queries”. In essence, there is a “wrap-up” set of Board Queries after the four decision-making rounds.
- 27. * Student registration, using the codes provided, is due today in lab. For Round 1, we will meet Thurs, April 18th, from 7:30- 9:30 PM in “Lab TBA”. After round one, proceed at your own pace through the remainder of the exam. This is an individual exam. No consultation with fellow students is allowed. Any procedural questions can be addressed during office hours/via email. The exam due date is Monday, April 29th at 1:00 PM (EST). No exceptions. Exam results will be distributed at our May 1st “Capsim Summit” in “Room TBA”. * * * * * * * * *
- 28. * * * *